Hong Kong tycoon to appeal over PCCW buyout

HONG KONG, May 12, 2009 (AFP) - Hong Kong tycoon Richard Li will appeal a court decision to block his controversial 2.1 billion US dollar buyout bid for telecoms giant PCCW, a spokesman said.

Richard Li

The PCCW chairman, through his investment vehicle Pacific Century Regional Developments (PCRD), will challenge the Court of Appeal's decision to halt the privatisation, a PCRD spokesman said late Monday.

Li's move comes after a written judgement concluded that a February shareholder vote to take the company private had been manipulated by businessman Lam Hau-wah.

The original decision over Li's attempt to take the city's largest fixed-line operator into private hands was made by the court last month, but the detailed judgement was only handed out Monday.

It had been keenly awaited by market-watchers to assess what effect it may have on future privatisation bids.

Li dropped the buyout plan after last month's original decision. There was no suggestion in the judgement that Li was aware of any manipulation.

The long-running saga has gripped the financial hub, as it pitted one of the city's richest families -- Li's father is Hong Kong's richest man Li Ka-shing -- against minority shareholders and the Securities and Futures Commission (SFC), a regulator.

PCRD will now take the case to the Court of Final Appeal.

Source: AFP

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