Richard Li’s PCCW Weighs $1 Billion IT Solutions Unit Sale
(Bloomberg) -- PCCW Ltd., a Hong Kong telecommunications, media and technology conglomerate controlled by billionaire Richard Li, is exploring a sale of its information technology and data centers unit, according to people familiar with the matter.
PCCW is working with a financial adviser as it evaluates a possible transaction that could value PCCW Solutions Ltd. at more than $1 billion, the people said, asking not to be identified because the matter is private. Prospective suitors including other telecom companies and private equity firms have expressed interest in acquiring all or part of the business, the people said.
Shares in PCCW rose as much as 4.1% on Friday, their largest intraday jump since Feb. 10, giving the company a market value of $4.5 billion.
PCCW Solutions offers digital services including IT, cloud computing, internet of things, e-commerce and data centers, according to its website. It has a presence in Hong Kong, mainland China and Southeast Asia.
Considerations are preliminary and PCCW could decide to retain the assets, the people said. A representative for PCCW declined to comment.
Hong Kong telecommunications firm HKT Ltd., which is controlled by PCCW, last year drew preliminary interest from investment funds for its international enterprise unit, PCCW Global, people familiar with the matter said at the time.
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