Li Ka-shing's Hutchison to buy Telefonica UK for £10.25 billion
Hong Kong-based conglomerate Hutchison Whampoa, controlled by billionaire Li Ka-shing, is in exclusive negotiations tobuy Telefonica’s British mobile division O2 for £10.25 billion (€13.6 billion).
The conglomerate already operates the Three Mobile network in Britain. The combination of Three and O2 will create the largest mobile operator in Britain, with as many as 32 million customers.
The move will also cut the number of networks in Britain from four to three, triggering an investigation into competition, according to The Telegraph.
Industry regulator Ofcom has already been protesting against consolidation in the industry and is likely to resist the deal.
The proposed O2 deal comes just two weeks after the Hong Kong tycoon undertook a major overhaul of his sprawling operations, which will restructure assets of Li Ka-shing’s companies into two new entities.
All of the real estate assets of Cheung Kong and Hutchinson Whampoa will be transitioned into Cheung Kong Property Holdings, while non-property assets will be transitioned into CK Hutchinson Holdings.
Hutchison Whampoa reported 2013 total revenues of HK$413 billion (€47 billion).
China’s richest man snaps up stake in Athletico Madrid
Wang Jianlin, the founder and chairman of the Chinese real estate conglomerate Dalian Wanda, has agreed to buy a 20% stake in the reigning Spanish La Liga champions Athletico Madrid for £34.5 million (€45.8 million).
Mr Jianlin is no stranger to the sport or to Spain – with Wanda sponsoring the Chinese Super League and recently acquiring the Edificio Espana tower in Madrid last year.
Announcing the deal, Wang Jianlin said: "Wanda's investment in Athletico Madrid is another step in our efforts to build a comprehensive entertainment portfolio for our domestic and international clients.
“We are delighted with the possibility of contributing to the growth of Atletico Madrid with its solid fan base and a brand that is rapidly expanding internationally”.
Athletico Madrid lost 1-0 away to Barcelona in the Copa Del Rey this week.
Dalian Wanda reported revenues of HK$413 billion (€47 billion) in 2013.