Hong Kong’s Hutchison ‘will not sign Panama deal next week’, Beijing to launch probe
Beijing to launch antitrust probe into deal by Li Ka-shing’s CK Hutchison Holdings
Hong Kong tycoon Li Ka-shing’s CK Hutchison Holdings will not go ahead with the expected signing of a deal next week to sell its two strategic ports at the Panama Canal, the Post has learned, as Beijing revealed it will launch an antitrust probe into the sale.
The State Administration for Market Regulation said on Friday it was looking into the deal.
The sale of CK Hutchison’s two ports at each end of the Panama Canal was part of a US$23 billion deal to sell 43 ports spread over 23 countries to a consortium led by United States investment firm BlackRock. CK Hutchison will pocket US$19 billion.
The investigation was announced after Hong Kong-based pro-Beijing media Wen Wei Po and Ta Kung Pao asked whether the deal required approval through an antitrust review.
“We have noticed this transaction, and will review it in accordance with the law to ensure fair competition in the market and safeguard the public interest,” a spokesman from the anti-monopoly department under the market regulator said in a written reply.
The watchdog did not reveal when the investigation would be launched but its response was later reposted on the Hong Kong and Macau Affairs Office website.