Hutchison offers to buy out Hindujas for $450m

Posted on | April 27, 2006 |

Hutchison Whampoa is believed to have offered to buy the Hinduja group’s 5.11% stake in India’s 4th largest operator Hutchison Essar for $400m, according to ET.

A value of $400m for a 5% stake would thus mean a current valuation of $8 bn for Hutchison Essar. If the entity is subsequently listed, and the market valuation is higher than $8bn, then Hutchison is believed to have offered a further $50m to the Hindujas.

In other words, if on listing the company has a valuation of, for example, $12bn, then 5per cent of this would come to $600m. The Hindujas would thus get $50m from the

Category: Vodafone

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One Response to “Hutchison offers to buy out Hindujas for $450m”

1. deven
   May 9th, 2006 @ 2:05 pm

   a cracking service.. good going

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