NTT DoCoMo, Inc. announced that DoCoMo agreed to sell its entire 20% shareholding in Hutchison 3G UK Holdings Limited ("H3G UK") to Hutchison Whampoa Limited ("HWL") for a total consideration of 120 million in a Sale and Purchase Agreement signed between DoCoMo and HWL.
Under the terms of the Sale and Purchase Agreement, DoCoMo will receive payment in three installments either in cash, or subject to the listing of Hutchison Telecommunications International Limited ("HTIL"), a subsidiary company of HWL that has applied for a listing on the Stock Exchange of Hong Kong, in shares of HTIL. The third and final installment will be made in December 2006. DoCoMo's right to receive 120 million as of the time of completion of the transaction in February 2007 is secured by the Sale and Purchase Agreement.
As part of the agreement, the 200 million shareholder loan provided by DoCoMo to H3G UK in May 2003 was transferred for value to Hutchison Europe Telecommunications, a HWL subsidiary company today. DoCoMo has no further financial commitments to H3G UK.
DoCoMo has been informed that no decision has been made as to the listing of HTIL and that HTIL's application for listing on The Stock Exchange of Hong Kong Limited and a public offering of HTIL's shares in Hong Kong are subject to the approval of The Stock Exchange of Hong Kong Limited and the boards of directors of HWL and HTIL.