News Alert: Takeover interest from multiple suitors
- News reported that HKBN draws takeover interests from multiple suitors
- Deliberations are at an early stage with no certainty to proceed with formal bids
- Takeover interests implies an undemanding valuation for HKBN with c.9% dividend yield
What’s New
– News reported on 19 May 2022 that HKBN (1310 HK) draws takeover interest from multiple suitors, including KKR, PAG, and Stonepeak.
– Deliberations are at an early stage, and there is no certainty to proceed with formal bids.
– HKBN offers residential and enterprise broadband services in Hong Kong, as well as other enterprise telecom solutions.
Our View:
– The takeover interest towards HKBN implies an undemanding valuation, which offers c.9% dividend yield.
– We currently rate BUY on the counter; TP of HK$13.6.