China Mobile Makes Takeover Bid for HKBN

China Mobile Ltd. has launched a takeover bid for Hong Kong broadband provider HKBN Ltd., valuing the company at approximately HK$6.86 billion ($882 million) with a cash offer of HK$5.23 per share, representing a 41% premium over its undisturbed share price. This move sets the stage for a potential bidding war, particularly as US-based investor Voyagers has countered with a higher bid valuing HKBN at HK$8.1 billion ($1.04 billion). China Mobile has secured commitments from key shareholders, including the Canada Pension Plan Investment Board and TPG Inc., who own 25% of HKBN, to accept its offer. The deal could escalate to HK$7.8 billion when factoring in additional financial considerations. China Mobile aims to bolster HKBN's financial health post-acquisition while retaining its public trading status, pending regulatory approvals. This takeover is part of a broader trend of Chinese firms expanding their footprint in Hong Kong's telecommunications sector.