01310 香港宽频 展示文件：(011) 董事会函件
HKBN Ltd.
香港宽频有限公司
(Incorporated in the Cayman Islands with limited liability)
(Stock Code: 1310)
ExecutiveDirector:
Mr.ChuKwongYEUNG
IndependentNon-ExecutiveDirectors:
Ms.CordeliaCHUNG(Chairman)
Ms.MingMingAnaCHEUNG
Ms.KitYiKityCHUNG
RegisteredOfice:
P.O.Box309
UglandHouse
GrandCaymanKY1-1104
CaymanIslands
PrincipalPlaceofBusines
inHongKong:
19thFlor,Tower1,TheQuayside
77HoiBunRoad,KwunTong
HongKong
9August2025
TotheDisinterestedShareholders
DearSirorMadam,
RESPONSEDOCUMENTINRELATIONTO
VOLUNTARYCONDITIONALGENERALCASHOFERBY
CHINAINTERNATIONALCAPITALCORPORATION
HONGKONGSECURITIESLIMITED
ONBEHALFOF
CHINAMOBILEHONGKONGCOMPANYLIMITED
TOACQUIREALOFTHEISUEDSHARESINHKBNLTD.
(OTHERTHANTHOSEALREADYOWNEDBY
CHINAMOBILEHONGKONGCOMPANYLIMITEDAND
PARTIESACTINGINCONCERTWITHIT)
INTRODUCTION
Referenceismadeto(i)theOferAnouncement,(i)thePriceAdjustment
Anouncement,(i)theotheranouncementsisuedbytheOferordated23December2024,
23January2025,21February2025,21March2025,10April2025,9May2025,9June2025,
20June2025,27June2025,25July2025and1August2025inrelationtotheShareOfer,
(iv)theRule3.8Anouncements,(v)theanouncementdated16June2025isuedbythe
CompanyinrelationtothestablishmentoftheIndependentBoardComiteandthe
apointmentoftheIndependentFinancialAdviser,(vi)theOferDocumentand(vi)theOfer
DespatchAnouncement.
On2December2024,theOferorisuedtheOferAnouncementanouncingthat,
subjectothesatisfactionor,ifcapableofbeingwaived,waiverofthePre-Conditions,CIC
would,onbehalfoftheOferor,makeavoluntaryconditionalgeneralcashofertoacquireal
oftheisuedShares(otherthanthosealreadyownedbytheOferorandpartiesactingin
concertwithit).
On1August2025,theOferoranouncedthatalPre-Conditionstothemakingofthe
ShareOferhavebensatisfied.
On6August2025,theOferordespatchedtheOferDocument,acompaniedwiththe
ShareOferAceptanceForm,setingoutdetailsoftheShareOfer.
ThepurposeofthisResponseDocumentistoprovideyouwith,amongotherthings,
(i)informationfromtheBoardinresponsetotheShareOfer;(i)informationfromthe
ExecutiveDirectorinresponsetotheShareOfer;(i)therecomendationofthe
IndependentBoardComitetotheDisinterestedShareholdersinrespectoftheShare
Ofer;(iv)theadviceoftheIndependentFinancialAdvisertotheIndependentBoard
ComiteinrespectoftheShareOfer;and(v)certaininformationontheGroup.
YouareadvisedtoreadthisResponseDocument,therecomendationofthe
IndependentBoardComiteandtheleterfromtheIndependentFinancialAdviser,in
conjunctionwiththeOferDocument,carefulybeforetakinganyactioninrespectofthe
ShareOfer.
TheShareOferisubjectotheConditionsbeingsatisfiedor,ifcapableofbeing
waived,waivedonorbeforetheConditionsLongStopDateandthereforetheShareOfer
mayormaynotbecomeunconditionalandmayormaynotbecompleted.Shareholders
and/orpotentialinvestorsoftheCompanyareadvisedtoexercisecautionindealingin
thesecuritiesoftheCompany.Personswhoareindoubtastotheactiontheyshouldtake
ortheirpositionshouldconsultheirstockbrokers,bankmanagers,solicitorsorother
profesionaladvisers.
THESHAREOFER
TheinformationrelatingtotheShareOferbelowisbasedontheOferDocument.You
arerecomendedtorefertotheOferDocumentandtheShareOferAceptanceFormfor
furtherdetailsonthetermsandconditionsoftheShareOfer.
CIC,forandonbehalfoftheOferorandincompliancewiththeTakeoversCode,has
madetheShareOfertoacquirealtheOferSharesonthefolowingterms:
ForeachOferShare.HK$5.075incash
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–
PursuantotheOferAnouncementandthePriceAdjustmentAnouncement,the2025
InterimDividendwasdeductedfromtheoriginaloferpriceofHK$5.23perShareastatedin
theOferAnouncement,suchthatheresultingOferPriceisnowreducedtoHK$5.075per
Share.
AsdisclosedintheOferDocument,saveforthe2024FinalDividendandthe2025
InterimDividend,if,afterthedateoftheOferDocument,anydividendand/orother
distributionand/orothereturnofcapitalisanounced,declaredorpaidinrespectofthe
Shares,theOferorshalreducetheOferPricebytheamountorvalueofsuchdividend,
distributionand/or,asthecasemaybe,returnofcapitalafterconsultationwiththeExecutive,
inwhichcaseanyreferenceintheOferDocumentoranyotheranouncementordocumento
theOferPricewilbedemedtobeareferencetotheOferPriceasoreduced.Anysuch
reductionwilaplytothoseSharesinrespectofwhichtheOferorwilnotbentitledtothe
relevantdividend,distributionand/oreturnofcapital.
Saveforthe2024FinalDividendandthe2025InterimDividend,therehasnotbenany
otherdividendordistributionanounced,declaredorpaidbytheCompanyafterthedateofthe
OferAnouncementanduptotheLatestPracticableDate.AsatheLatestPracticableDate,
saveforanyfinaldividendfortheyearending31August2025thatmaybedeclared,the
Companyhasnointentiontomake,declareorpayanyfuturedividendordistributionpriorto
thecloseorlapseoftheShareOfer.
TheSharestobeacquiredbytheOferorundertheShareOfershalbefulypaidand
shalbeacquiredfrefromaliens,charges,encumbrances,rightsofpre-emptionandany
otherthirdpartyrightsofanynatureandtogetherwithalrightsatachingtothemasathe
ClosingDateorsubsequentlybecomingatachedtothem,includingtherightoreceiveinful
aldividendsandotherdistributions,ifany,therecordateofwhichisonoraftertheClosing
Date.AnydividendsorotherdistributionstherecordateofwhichisbeforetheClosingDate
wilbepaidbytheCompanytotheShareholderswhoarequalifiedforsuchdividendsor
distributions.
TheOferorwilnotincreasetheOferPrice(exceptinwholyexceptional
circumstancesasmaybepermitedbytheSFCExecutiveorinsuchcircumstancesas
describedfurtherinthesectionheaded
‘
IrevocableUndertakings
’
).Shareholdersand
potentialinvestorsoftheCompanyshouldbeawarethat,folowingthemakingofthis
statement,theOferorwilnotbealowedtoincreasetheOferPrice(exceptinthe
abovementionedcircumstances).
ConditionsoftheShareOfer
Asdisclosedintheparagrapheaded
‘
4.ConditionstotheShareOfer
’
inthe
‘
Leter
fromCIC
’
asetoutintheOferDocument,theShareOferisconditionaluponthe
satisfactionor,ifcapableofbeingwaived,waiverofthefolowingConditionsonorpriorto
theConditionsLongStopDate:
(a)validaceptancesoftheShareOferbeingreceived(andnot,wherepermited,
withdrawn)by4:00p.m.onorpriortotheClosingDate(orsuchlatertimeordate
astheOferormay,subjectotherulesoftheTakeoversCode,decide)inrespectof
–
–
suchnumberofShareswhich,togetherwithanySharesacquiredoragredtobe
acquiredpriortorduringtheoferperiodfortheShareOfer(whetherpursuanto
theShareOferorotherwise),wilresultintheOferorandpersonsactinginconcert
withitholdingmorethan50%ofthevotingrightsintheCompany;
(b)theSharesremaininglistedandtradedontheStockExchangeuptotheClosingDate
saveforanytemporarysuspension(s)oftradingoftheSharesandnoindication
beingreceivedonorbeforetheClosingDatefromtheSFCand/ortheStock
ExchangetothefecthathelistingoftheSharesontheStockExchangeisoris
likelytobewithdrawn;
(c)noeventhavingocuredwhichwouldmaketheShareOferand/or(iftheOferor
weretoexerciseanyCompulsoryAcquisitionRight)thewithdrawaloflistingofthe
Sharesvoid,unenforceable,ilegalorimpracticableorwouldprohibit
implementationoftheShareOferorwouldimposeanyaditionalmaterial
conditionsorobligationswithrespectotheShareOferoranyparthereof;
(d)uptoandincludingthetimewhentheConditionsetoutin(a)aboveisatisfied,(i)
noAuthoritiesinanyjurisdictionhavingtakenorinstitutedanyaction,proceding,
suit,investigationorenquiry,orenactedormadeorpubliclyproposedanyofthe
foregoing,and(i)therehavingbenoutstandingstatute,regulation,demandor
order,ineachcasewhichwouldmaketheShareOferand/or(iftheOferorwereto
exerciseanyCompulsoryAcquisitionRight)thewithdrawaloflistingoftheShares
void,unenforceableorilegalorprohibitimplementationoftheShareOferorwhich
wouldimposeanymaterialconditions,limitationsorobligationswithrespectothe
ShareOfer;and
(e)from31August2024uptoandincludingthetimewhentheConditionsetoutin(a)
aboveisatisfied,therehavingbenomaterialadversechangeinthebusines,
asets,financialortradingpositionsorprospectsorconditions(whetheroperational,
legalorotherwise)oftheGrouptoanextentwhichismaterialinthecontextofthe
Grouptakenasawhole.
TheOferoreservestherightowaive,inwholeorinpart,theConditionsetoutin(b)
and(e)and,tothextentitwouldnotmaketheShareOferand/or(iftheOferorwereto
exerciseanyCompulsoryAcquisitionRight)thewithdrawaloflistingoftheSharesilegal,the
Conditionsetoutin(c)and(d)above.TheConditionsetoutin(a)abovecanotbewaived.
IfanyoftheConditionsisnotsatisfiedor,ifcapableofbeingwaived,waivedonorbeforethe
ConditionsLongStopDate,theShareOferwilapse.
PursuantoNote2toRule30.1oftheTakeoversCode,theOferormayonlyinvokeany
oraloftheConditionsasabasisfornotprocedingwiththeShareOferifthecircumstances
whichgiverisetotherightoinvokesuchCondition(s)areofmaterialsignificancetothe
OferorinthecontextoftheShareOfer.
–
–
TheOferDocumentstatedthat,asatheOferDocumentLPD,noneoftheConditions
hasbensatisfied,orifcapableofbeingwaived,waived,andasathedateoftheOfer
Document,theOferorisnotawareofanycircumstanceswhichmayresultinanyofthe
Conditionsetoutin(b),(c),(d)or(e)abovenotbeingsatisfied.
CompletionoftheShareOferisubjectotheConditionsbeingsatisfiedor,if
capableofbeingwaived,waivedonorbeforetheConditionsLongStopDate.
Acordingly,theDisinterestedShareholdersandprospectiveinvestorsoftheCompany
areremindedthatheShareOfermayormaynotbecomeunconditionalandmayor
maynotbecompleted.
IREVOCABLEUNDERTAKINGS
AstatedintheOferDocument,on2December2024,theOferorandeachofCanada
PensionPlanInvestmentBoardandTPGWireman,L.P.enteredintotheIrevocable
Undertakings,pursuantowhicheachofCanadaPensionPlanInvestmentBoardandTPG
Wireman,L.P.irevocablyagredtoaceptheShareOferonthetermsoftheIrevocable
Undertakings.FolowingcompletionofthetransferofSharesfromTPGWireman,L.P.tothe
Oferoron7May2025,theIrevocableUndertakingivenbyTPGWireman,L.P.was
terminated.
AsatheOferDocumentLPD,CanadaPensionPlanInvestmentBoardheld182,405,000
Shares,representing12.33%oftheisuedsharecapitaloftheCompany.Pursuantoits
IrevocableUndertaking,CanadaPensionPlanInvestmentBoardhasirevocablyundertakento
theOferortoaceptheShareOferinrespectofaloftheSharesheldbyit.CanadaPension
PlanInvestmentBoardhasalsoagredthat,duringthetermofitsIrevocableUndertaking,it
shalnotsel,transfer,charge,encumber,grantanyoptionoverorotherwisedisposeofany
interestinanySharesheldbyit.
TheIrevocableUndertakingivenbyCanadaPensionPlanInvestmentBoardshal
terminateif:(a)theExecutiveconsentstotheOferornotmakingtheShareOfer;(b)anevent
ocurswhichmeansthatheOferorisnolongerequiredbytheTakeoversCodetoproced
withtheShareOfer;(c)thePre-Conditionsarenotsatisfied,orifcapableofbeingwaived,
notwaivedonorpriortothePre-ConditionsLongStopDate;(d)theShareOferlapsesoris
withdrawn;(e)(i)anyperson(otherthantheOferor)makesabonafideoferatahigherprice
toacquirealoftheSharesownedbyCanadaPensionPlanInvestmentBoard,(i)theOferor
failstoincreasetheOferPricetoabovesuchcompetingoferpricewithinaspecified
deadlineafterhavingbengivenoticeofsuchcompetingoferbyCanadaPensionPlan
InvestmentBoard,and(i)CanadaPensionPlanInvestmentBoardentersintoabinding
agrementwithsuchotherpersontoselalofitsSharesatherelevanthigherprice,provided
thatifsuchbindingagrementerminatespriortoitscompletion,theIrevocableUndertaking
wilbereinstatedwithefectfromsuchtermination;or(f)anyperson(otherthantheOferor)
publishesananouncementofafirmintentiontomakeanoferunderRule3.5ofthe
TakeoversCodetoacquirealoftheSharesatahigherprice,andtheOferorfailstoincrease
theOferPricetoabovesuchcompetingoferpricewithinaspecifiedeadline.Forthe
avoidanceofdoubt,theOferoreservestherightoincreasetheOferPriceinthe
circumstancesdescribedin(e)and(f)above.
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–
FURTHERDETAILSOFTHEOFER
FurtherdetailsoftheShareOferincluding,amongothers,thexpectedtimetable,the
conditions,termsandproceduresofaceptanceoftheShareOfer,aresetoutintheOfer
Document,theShareOferAceptanceFormandfurtheranouncementsmadeortobemade
bytheOferor(ifany).
INFORMATIONOFTHEGROUP
TheCompany,alimitedliabilitycompanyincorporatedintheCaymanIslands,isa
leadingproviderofresidentialandenterprisefibrebroadbandandinternetservicesinHong
Kong.Sinceitsestablishmentin1999,theCompanyhasundergonearemarkable
transformation,drivenbytheleadershipofitsmanagementeamsandthededicationofits
talents.
Fromitshumblebeginingsasalocalstartup,HKBNhasevolvedintoadisruptiveforce
inthetelecomunicationsectorandisnowfirmlyestablishedasafulyintegratedICT
powerhouse.Throughouthistransformativejourney,theCompanyhasremainedsteadfastin
itsmision:toredefinethewaycustomerslive,learn,work,andplaybydeliveringthemost
inovativeandependableservicesatexceptionalvalue.
Today,HKBNisafulyintegratedone-stopICTpowerhousewithoperationspaning
HongKong,Macao,andmainlandChina.HKBN
’
sdiverseteamofprofesionalsbrings
togetherdeptechnicalexpertise,enablingtheCompanytodelivernotonlyconectivity
solutionsbutalsoawiderangeofservicesandtechnologiesthatenhancethelivesof
residentialcustomersandempowerenterprisestoachievehigherlevelsofeficiency,
scalability,andagility.
HKBNhasconsistentlydemonstratedastrongcomitmentoinfrastructuredevelopment
andtechnologicaladvancement.Sinceinception,theCompanyhasinvestedaproximately
HK$11bilioninitsnetworkinfrastructureandrelatedasets,underscoringitslong-term
visionandcomitmentodeliveringexceptionalservicequality.
TheCompany
’
strategicmergerwithWTHoldingCorp.inApril2019,folowedbythe
acquisitionsofJardineOneSolutionHoldings(C.I.)Limited,AduraHongKongLimited,and
AduraCyberSecurityServicesPte.Ltd.inDecember2019,havesignificantlyexpanded
HKBN
’
soperationalscaleandcustomereach.Thesetransformativetransactionsmarkeda
pivotalshiftintheGroup
’
strategicfocustowardenterpriseservices,resultinginenterprise-
relatedsegmentscontributing60%ormoreoftheGroup
’
stotalrevenuesinceFY2020.
HKBNremainsfirmlycomitedtocreatinglong-termvalueforitstakeholdersby
maintainingitspositionasahigh-quality,high-valueasetandeliveringsustainedgrowth
throughinovation,operationalexcelence,andcustomer-centricity.
TheCompanyhasahighlyentrepreneurialculturewithundredsoftalentswhoarealso
co-ownersoftheCompany
’
sbusinesthroughinvestingtheirownsavingsandfinancial
resourcesinthesharesoftheCompany.Theconceptsofhavingtalents
’
interestsand
–
–
comitmentsincentivisedbytheCompany
’
shareandotherincentiveschemesarewel
entrenchedinHKBN
’
sbusines.ItisHKBN
’
scorporateculture,devotionsandperseverance
whichunderpinedthesucesoftheCompany
’
sbusinesto-date.
TheCompanyexpresesinceregratitudetourexecutives,managementeamand
dedicatedtalentsincreatingandbuildingsuchasucesfulbusineswhichwilcontinueto
growandprosperinthefuturetocome.
FINANCIALINFORMATIONOFTHECOMPANY
Year
ended31
August
Year
ended31
August
Year
ended31
August
Six
months
ended29
February
Six
months
ended28
February
(audited)(audited)(audited)(unaudited)(unaudited)
HK$
’
000HK$
’
000HK$
’
000HK$
’
000HK$
’
Revenue11,626,16411,692,17610,650,9225,809,0915,734,269
EBITDA
(1)
2,609,7502,289,9142,364,7591,151,1721,206,122
Profit(los)beforetax712,216(1,231,331)29,1257,788113,066
Profit(los)aftertax553,321(1,267,408)10,2771,534107,560
Adjustedfrecashflow
(2)
1,133,253763,249620,145124,248126,186
DividendperShare(HKcents)604031.51515.5
(1)EBITDAisprofitfortheyearplusfinancecosts,incometaxexpense,depreciation,amortisationofintangible
asets(netofdirectcostincuredincorespondingperiod),amortisationofcustomeracquisitionandretention
costs,los/(gain)ondisposalofasociates/subsidiaries,shareoflosofdiscontinuedoperation,impairmenton
godwil,impairmentoninterestinajointventureandlesinterestincome.
(2)AdjustedfrecashflowisEBITDAlescapitalexpenditure,customeracquisitionandretentioncosts,net
interestpaid,incometaxpaid,premiumpaidonseniornotesredemption,leasepaymentsinrelationtoright-
of-useasets,changesinworkingcapitalandothernon-cashitemsincludingamortisationofobligationsunder
grantingofrights,changeinfairvalueofcontingentconsideration,Co-OwnershipPlanIrelatednon-cash
itemsandlosonderecognitionofcontingentconsideration.
TheCompanyconsidersEBITDAtobeoneofthemostimportantmetricsinevaluating
theunderlyingstrengthandperformanceofitsbusines,andregardsenterprisevalue/EBITDA
(
‘
EV/EBITDA
’
)asanimportantmetricinvaluation,whichisalsowidelyadoptedasa
primaryvaluationmethodologybytheresearchanalystsandtheinvestorcomunity.Since
FY2023,theCompanyhasdrivenconsistentgrowthinEBITDA,underpinedbyastrategic
focusondeliveringaditionalvalue-adedoferings,upgradingcustomerstofastersped
services,andenhancingoperationaleficiency.TheseinitiativeshavereinforcedHKBN
’
s
marketcompetitivenesandoperatingleverage,furthersolidifyingitspositionasahigh-quality
andhigh-performingICTenterprise.
–
–
WhiletheCompany
’
snetprofitandadjustedfrecashflow(AF)inFY2023were
impactedbythesharpriseinglobalinterestratesfolowingtheUnitedStatesofAmerica
FederalReserve
’
stighteningcycle,byFY2024bothnetprofitandadjustedfrecashflow
(AF)hadstabilized.TheCompanyhasalsoadoptedamoresystematichedgingpracticefor
greaterfinancialstrengthinfutureratetighteningcycles.
Duringtheabovefinancialyears/periods,theCompanyhasustainedthelevelsof
dividendpayoutashownintheabovetablenotwithstandingfluctuationsintheCompany
’
s
profits.ThesedividendpaymentshavebensuportedbytheCompany
’
shighcashgeneration
ability,whichischaracterisedbysteadyrecurentincomesandstablecustomercontracts.
YouratentionisdrawntoApendicesIandItothisResponseDocumentwhichcontain
furtherfinancialandgeneralinformationoftheGroup.
RECENTDEVELOPMENTSINTHEFINANCIALPOSITIONOFTHECOMPANY
On18March2025,theGroupsucesfulyrefinancedbankloanswithanagregate
principalamountofHK$5.25bilion,originalymaturingon24November2025,throughthe
incurenceofanewlong-termtermloanfacility.Furtherstrengtheningitscapitalposition,the
GroupsecuredanincrementalfacilityofHK$1.5bilionwhichwasutilisedon17April2025
forthearlyprepaymentofpartofthebankloansdueon9April2026.Suchnewlyrefinanced
bankloanshaveamorefavourablematuritydateof18March2030,significantlyextendingthe
Group
’
sdebtmaturityprofileandenhancingoveralfinancialflexibility.
TheCompanyhasrecentlybeninegotiationswithactualand/orpotentialendersin
relationtothextension,amendmentand/orefinancingofitsborowings.TheCompanyhas
madeprogresinthisrespectandinterestcostsmaywelbelowerinFY2025thantherecord
levelsinFY2024.
CHANGESINTHESECURITIESOFTHECOMPANYSINCETHEOFER
ANOUNCEMENT
VendorLoanNotes
On14March2025,alofthevendorloanotesisuedbytheCompanyandheldbyTwin
HoldingLtdwereconvertedinto83,661,106Shares,asdisclosedintheRule3.8
AnouncementpublishedbytheCompanyonthesamedate.
On22April2025,alofthevendorloanotesisuedbytheCompanyandheldbyTPG
Wireman,L.P.wereconvertedinto83,661,106Shares,asdisclosedintheRule3.8
AnouncementpublishedbytheCompanyonthesamedate.
FolowingtheaboveconversionsofthevendorloanotesisuedbytheCompany,there
arenolongeranyoutstandingvendorloanotesthatareconvertibleintoSharesinisue.
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RSUs
WithrespectotheRSUsthatweregrantedundertheAmendedandRestated
Co-OwnershipPlanIV,acordingtotherulesoftheAmendedandRestatedCo-Ownership
PlanIV,theBoardhasdiscretiontodeterminewhetherornototerminatesuchplanuponthe
makingofageneraloferbywayoftakeovertoaltheShareholders(otherthantheoferoror
anypersonactinginconcertwiththeoferor).Onthisbasis,theBoardhas,on1August2025,
resolvedtoterminatetheAmendedandRestatedCo-OwnershipPlanIVsubjecto,and
efectiveimediatelyupon,themakingoftheShareOferbytheOferor.
Acordingly,theAmendedandRestatedCo-OwnershipPlanIVhasbenterminated
imediatelyupontheOferor
’
smakingoftheShareOfer.Uponsuchtermination,(i)al
11,494,101unvestedRSUsgrantedundertheAmendedandRestatedCo-OwnershipPlanIV
havelapsedimediatelyandidnotentitlethegrantestoanyawardShare(oranyportion
thereof),andthereforenoawardSharewilbeisuedbytheCompany,and(i)alSharesheld
bytheTrusteshalbereturnedtotherelevantparticipantsoftheAmendedandRestatedCo-
OwnershipPlanIV,ineachcase,inacordancewiththerelevantrulesoftheAmendedand
RestatedCo-OwnershipPlanIV.SuchSharesheldbytheTrustewilbetransferedtoa
nomineacountmanagedbyComputershareHongKongInvestorServicesLimited(asplan
manager)forandonbehalfoftherelevantparticipantsoftheAmendedandRestatedCo-
OwnershipPlanIVandareregisteredinthenameofHKSCNominesLimited,andthe
relevantparticipantsareabletodealwiththeirelevantSharesatheirowndiscretion.For
furtherdetails,pleaserefertotheRule3.8AnouncementpublishedbytheCompanyon4
August2025.
SHAREHOLDINGINFORMATIONOFTHECOMPANY
AsatheLatestPracticableDate,theCompanyhasatotalof1,478,921,568Sharesin
isue,ofwhichatotalof228,627,451Shares(representing15.46%ofthetotalisuedshare
capitaloftheCompany)weredisclosedbytheOferortobeheldbyitandpartiesactingin
concertwithitintheOferDocument.Saveasdisclosedabove,theCompanyhasno
outstandingsecurities,options,derivativesorwarantswhichareconvertibleorexchangeable
intoSharesandtheCompanyhasnotherelevantsecurities(asdefinedinNote4toRule22
oftheTakeoversCode).
INFORMATIONONTHEOFERORANDCHINAMOBILE
PleaserefertotheOferDocumentfortheinformationontheOferorandChinaMobile.
INTENTIONOFTHEOFERORWITHREGARDTOTHEGROUP
TheinformationsetoutbelowisreproducedfromtheOferDocument:
‘
UponcompletionoftheShareOfer,ifsucesful,theCompanywilbecomeanindirect
subsidiaryofChinaMobile,whichisdualistedontheHongKongandShanghaiStock
Exchanges.
–
–
AsatheOferDocumentLPD,itistheintentionoftheOferorfortheGrouptocontinue
tocaryonitsexistingbusinesandtheCompanydoesnothaveanyplantomakeany
materialchangeto:(a)thebusinesoftheGroup(includinganyredeploymentofanyfixed
asetoftheGroup);or(b)thecontinuedemploymentofthemployesoftheGroup(other
thanintheordinarycourseofbusines).AsatheOferDocumentLPD,theOferorhasno
intentiontodownsize,ceaseordisposeofanyexistingbusinesoroperationsoftheGroup.
FolowingcompletionoftheShareOfer,theOferorwilcontinuetoconsiderhowbest
tosuportheGroup
’
sfuturedevelopmentandexpansion,aswelasintegrationwithinthe
ChinaMobileGrouptomaximisesynergies.
’
TheBoardhasnotedandisawareoftheaboveintentionoftheOferorinrespectofthe
Groupanditsemployes.
RIGHTOFCOMPULSORYACQUISITIONANDLISTINGSTATUSOFTHE
COMPANY
AsdisclosedintheOferDocument,whilstheOferor
’
sobjectiveinmakingtheShare
OferisnotoprivatisetheCompany,theOferorintendstoavailitselfoftherightunder
section88oftheCompaniesActocompulsorilyacquirethoseSharesnotacquiredbythe
OferorundertheShareOferif,withinfourmonthsafterthedateoftheOferDocument,it
hasreceivedvalidaceptancesinrespectofnotlesthan90%oftheSharesnotalreadyheld
bytheOferorand/orpartiesactinginconcertwithit.Oncompletionofanysuchcompulsory
acquisition(ifaplicable),theCompanywouldbecomeadirectwholy-ownedsubsidiaryof
theOferorandinthisregard,anaplicationwouldbemadeforthewithdrawaloflistingof
theSharesfromtheStockExchangepursuantoRule6.15oftheListingRules.
IfthelevelofaceptancesoftheShareOfereachestheprescribedlevelunderthe
CompaniesActrequiredforcompulsoryacquisitionandiftherequirementsofRule2.11ofthe
TakeoversCodearesatisfied,anaplicationwilbemadetotheStockExchangetosuspend
dealingsintheSharesuntilthewithdrawaloflistingoftheSharesfromtheStockExchange
pursuantoRule6.15oftheListingRules.
AsdisclosedintheOferDocument,theStockExchangehastatedthat,if,athecloseof
theShareOfer,lesthantheminimumprescribedpercentageaplicabletotheCompany,
being25%oftheShares(excludingtreasuryshares),areheldbythepublic,oriftheStock
Exchangebelievesthat(i)afalsemarketexistsormayexistinthetradingoftheShares;or(i)
thereisinsuficientSharesinpublichandstomaintainanorderlymarket,theStockExchange
wilconsiderexercisingitsdiscretiontosuspendealingsintheShares.
TheOferor
’
sabilitytoexercisetheCompulsoryAcquisitionRightinrespectoftheOfer
SharesisdependentonthelevelofaceptancesoftheShareOfereachingtheprescribed
levelsundertheCompaniesActandtherequirementsofRule2.11oftheTakeoversCode
beingsatisfied.UpontheclosingoftheShareOfer,intheventhatheOferorisnotableto
efecthecompulsoryacquisitionoftheremainingOferShares,theShareswilremainlisted
ontheStockExchange.ThedirectorsoftheOferorhavejointlyandseveralyundertakento
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theStockExchangetotakeapropriatestepstoensurethatsuficientpublicfloatexistsinthe
Company
’
sShares,wheretheOferorisunabletoexercisetheCompulsoryAcquisitionRight
undersection88oftheCompaniesAct.
INDEPENDENTBOARDCOMITEANDINDEPENDENTFINANCIALADVISER
Asdisclosedintheanouncementdated16June2025isuedbytheCompany,pursuanto
Rule2.1oftheTakeoversCode,theIndependentBoardComite,comprisingalthenon-
executiveDirectorswhohavenodirectorindirectinterestintheShareOfer,namelyMs.
MingMingAnaCHEUNGandMs.KitYiKityCHUNG,hasbenestablishedtomakea
recomendationtotheDisinterestedShareholdersinrespectoftheShareOferandtoadvise
theDisinterestedShareholdersastowhetherornothetermsoftheShareOferarefairand
reasonableandastotheaceptanceoftheShareOfer.
AsMs.CordeliaCHUNG(anindependentnon-executiveDirector),inhercapacityasthe
ChairmanoftheBoardandrepresentingtheCompany,wasinvolvedincertaindiscusionswith
theOferorinrespectoftheShareOfereitherpriortorafterthepublicationoftheOfer
Anouncement,sheisregardedashavingadirectorindirectinterestintheShareOferforthe
purposesofRule2.8oftheTakeoversCode.Acordingly,Ms.CordeliaCHUNGisnota
memberoftheIndependentBoardComite.
Forcompletenes,athetimeoformationoftheIndependentBoardComiteon15
June2025,Ms.ShengpingYU(whowasanon-executiveDirectorathatime)wasalso
regardedashavingadirectorindirectinterestintheShareOferforthepurposesofRule2.8
oftheTakeoversCodeinlightofthefacthatasMs.ShengpingYU,asarepresentativeof
TwinHoldingLtd(whowasasubstantialShareholderathatime),wasinvolvedincertain
discusionswiththeOferorinrelationtotheShareOfereitherpriortorafterthe
publicationoftheOferAnouncement.Acordingly,Ms.ShengpingYUwasnotamemberof
theIndependentBoardComite.Asdisclosedintheanouncementdated8August2025
isuedbytheCompany,Ms.ShengpingYUhasresignedasanon-executiveDirectorwith
efectfrom8August2025withtheconsentoftheSFCExecutivepursuantoRule7ofthe
TakeoversCode.
SomerleyhasbenapointedastheIndependentFinancialAdviser,withtheaprovalof
theIndependentBoardComite,toadvisetheIndependentBoardComiteinrespectof
theShareOfer.
VIEWSANDRECOMENDATIONS
Youratentionisdrawnto(i)theleterfromtheIndependentBoardComitesetouton
pages28to29ofthisResponseDocumentwhichcontainsitsrecomendationtothe
DisinterestedShareholdersastowhetherthetermsoftheShareOferareorarenot,fairand
reasonableandastotheiraceptanceoftherespectiveShareOfer;and(i)theleterfromthe
IndependentFinancialAdvisersetoutonpages30to69ofthisResponseDocumentwhich
containsitsadvicetotheIndependentBoardComiteinconectionwiththeShareOfer,as
welastheprincipalfactorsandreasonsconsideredbyitinarivingatitsadvice.Disinterested
ShareholdershouldreadtheseletersinconjunctionwiththeOferDocumentcarefulybefore
takinganyactioninrespectoftheShareOfer.
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TheIndependentFinancialAdviserisoftheviewthatheShareOferisfairand
reasonablesofarastheDisinterestedShareholdersareconcernedandadvisestheIndependent
BoardComitetorecomendtheDisinterestedShareholderstoaceptheShareOfer.The
OferorhasaiditsobjectiveisnotoprivatisetheCompanybutavailsitselfofthe
CompulsoryAcquisitionRightiftherequiredaceptancethresholdof90%ismetandproceds
withthedelistingoftheCompany.Thisconditionmayormaynotbefulfiled.Consequently,
ShareholderswhoareatractedbyrecentprogresmadebythemanagementoftheCompanyor
bytheprospectsoftheGroupfolowingtheShareOferifafinancialypowerfuloferorgains
control,haveaviablealternativetoaceptanceoftheShareOfer.SuchShareholdersmay
consideretainingsomeoraloftheirShares.
HavingconsideredthetermsoftheShareOferandtheadvicefromtheIndependent
FinancialAdviser,theIndependentBoardComiteisoftheviewthatheShareOferisfair
andreasonablesofarastheDisinterestedShareholdersareconcernedandrecomendsthe
DisinterestedShareholderstoaceptheShareOfer.
TheviewsofthetwomembersoftheBoard,whoarenotmembersoftheIBC,inrespect
oftheShareOferaresetoutbelow.
TheChairmanoftheBoardconcurswiththeviewsoftheIndependentBoardComite
andtheIndependentFinancialAdviserastatedabove.
TheExecutiveDirector
’
sviewisthathedoesnotaceptheOferPriceasbeingfairand
reasonable.YouratentionisdrawntotheleterfromtheExecutiveDirectorsetoutonpages
19to27ofthisResponseDocumentwhichcontainsdetailsoftheviewsoftheExecutive
DirectorontheShareOferandthereasoningforsuchview.
ADITIONALINFORMATION
Youratentionisdrawntotheaditionalinformationcontainedintheapendicestothis
ResponseDocument.YouarealsorecomendedtoreadcarefulytheOferDocumentandthe
acompanyingShareOferAceptanceFormforfurtherdetailsinrespectoftheproceduresfor
aceptanceoftheShareOfer.
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