Hutch and Etisalat agree to merge operations in Sri Lanka

Friday, 27 April 2018 00:00 - - {{hitsCtrl.values.hits}}

CK Hutchison Group (CKHH Group) and Emirates Telecommunications Group Company PJSC (Etisalat Group) announced yesterday they had entered into a definitive agreement to merge their mobile telecommunications businesses in Sri Lanka operating under Hutchison Telecommunications Lanka Ltd., (Hutch Lanka) and Etisalat Lanka Ltd. (ESL) respectively.

In a statement, they said the combined business of Hutch Lanka and ESL will be better positioned to serve their Sri Lankan customers.

“This transaction is part of the stated strategy of portfolio optimisation of the Etisalat Group. Upon the completion of the transaction, CKHH Group will have the majority and controlling stake in the combined entity,” it added.

The completion of the transaction is subject to a number of precedent conditions, which include, among others, securing the necessary competition and regulatory approvals in Sri Lanka.

The statement also said should there be any material developments on this subject, a further announcement will be made in accordance with applicable stock market rules and regulations.