Breakingviews

PCCW spinoff can’t unwind tycoon discount

November 23, 2011

Richard Li’s conglomerate snagged a generous $3.8 bln price tag for its Hong Kong telecom business, thanks to a promise of fat dividends. But the spinoff exposes an inconvenient truth: the mogul’s own holding company is valued at almost 40 percent less than the sum of its parts.

Richard Li’s financial alchemy fails to wow

October 12, 2011

Richard Li's third attempt to offload PCCW's Hong Kong Telecom subsidiary is the most complex yet. After a failed sale to Macquarie, and a buyout that was blocked by local courts, the tycoon now proposes to spin off the unit into a trust structure, a Hong Kong first.