HKBN said it has recieved approval from the Communications Authority’s to acquire WTT Holding and it plans to close their merger by the end of April 2019.
WTT is an enterprise-focused fixed telecommunication services operator with extensive fixed line infrastructure in Hong Kong. WTT and HKBN's enterprise solution business are highly complementary given WTT's focus on larger corporate clients and HKBN's focus on SME clients. The transaction also provides for significant value creation opportunities through synergies of combined cost efficiencies and cross-selling opportunities to the enlarged customer base.
After closing, Billy Yeung, COO of HKBN Enterprise Solutions will assume the new role of CEO of HKBN Enterprise Solutions and CEO of WTT, and lead the overall integration process.
The Communications Authority however has identified competition issues on building access and wholesale service provision that would likely arise from the proposed acquisition and communicated with the merging parties on those issues.
Teck Kong, Partner, MBK Partners
This is a transaction between two strong and highly complementary businesses that are committed to serving the needs of their customers to the highest of standards. HKBN and WTT’s merger will benefit the combined customer base through a broader and more competitive range of services.
NiQ Lai, Co-Owner and CEO, HKBN Group
We expect the biggest beneficiaries of this merger will be Hong Kong businesses, as with the combined scale of HKBN and WTT, we look forward to delivering disruptive innovation in ICT services to make doing business in Hong Kong easier.
