Thai mobile operators True Corp is reportedly close to buying Hutchison CAT Wireless Multimedia (HCWM), according to the Bangkok Post.
A deal could take place before the end of the year, as the company just finished its due diligence process, explains…
Thai mobile operators True Corp is reportedly close to buying Hutchison CAT Wireless Multimedia (HCWM), according to the Bangkok Post.
A deal could take place before the end of the year, as the company just finished its due diligence process, explains the newspaper.
HCWM is a CDMA joint venture between Hong Kong-based telecom group Hutchinson Telecommunications International (75%) and Thai state-owned telco CAT (25%).
Late November, it was reported that True was willing to pay US$120m-US$150m for the company. However, it is well known that Hutch insists upon high prices for its assets, and in this case, its minimum asking price is rumoured to be Bt6.57bn (US$220m).
At that time, another Thai Mobile operator, Advanced Info Service (AIS), was also reportedly interested in acquiring HCWM. But True now seems to have won the battle.
CAT, which had last April obtained government approval to take complete ownership of HCWM, was ordered in September to lower its offer price from Bt7.2bn (US$240m) to Bt4bn (US$135m), in order to save money for other projects since it is being promoted as a national network provider. Hutch then informed CAT that it would not sell the company for the price asked.
True and HCWM could not be reached for comment before press time.
