Li's attempt to sell 22.7 percent stake in PCCW thwarted.(MERGERS AND ACQUISITIONS)

China Telecom, January, 2007

Li Ka-shing's proposal to buy the shares of Richard Li, his younger son, in phone firm PCCW was rejected by shareholders in a vote. The minority stockholders of the Richard Li-controlled firm based in Singapore, Pacific Century Regional Developments, blatantly rejected a proposal to sell a 22.7 percent stake in PCCW for HKD 9.16 billion ($1.18 billion).

This breakup of Richard's claim would have implied that state-controlled China Network Communications Group would be the largest single shareholder with 20 percent. PCCW's fixed-line user base was 2.58 million as of June 30. This rejection thwarts Li's attempt to move out of PCCW after a 95 percent decline in its market value. Li had earlier in July disclosed a deal to sell Pacific Century's stake in PCCW to a...

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