Cheung Kong President Li Ka-Shing: acquisition of United Kingdom power grid investment return approximately 11% _ second ring roads

2010- 08-06 tanlu author: from £ 21 century economic report on 5 August, has just announced the acquisition of United Kingdom power big Cheung Kong (00001.HK) President Li Ka-shing, ESPRIT appears in the first half of the performance session. "United Kingdom network ROI, about 11%. We also continue to look for other similar tone of investment project, if you make it to announce. "Li Ka-Shing said. Li Ka-shing's River infrastructure (01038.HK), Hongkong Electric Holdings (00006.HK) and the consortium of Li Ka Shing Foundation, July 30, successfully defeated by Australia Macquarie, Abu Dhabi investment Council and the Canada pension plan composition of the Consortium, to finance 57.75 billion pounds (more than 700 billion) takeover France power Group (EDF) holds 100% interest in United Kingdom power. The last 6 years, Li Ka-Shing input at least 850 billion in the United Kingdom public utilities, has control of the United Kingdom about 25% of the power distribution market, approximately 10% of the gas supply market, as well as 5% of the supply market. However, Li Ka-Shing on August 5, told reporters that are not on the United Kingdom has a special, no matter what the project, as long as it is in the political stability, a legal guarantee of the State, has the potential for investment. The most critical or at the rate of return on the investment project and robustness. Cheung Kong net liabilities ratio of only 7% spend more than $ 7 billion in the United Kingdom power project, the group is the largest amount of overseas acquisition projects. However, Ministers and Deputy Chairman of the Department, said the acquisition of Hak will not be on infrastructure and Hongkong Electric Holdings constitute the capital formation pressure. The acquisition is complete, the Yangtze River infrastructure, the Hong Kong electric power grid will be 40% interest in United Kingdom, and the remaining 20% interest held by Li Ka Shing Foundation. Li Ka-Shing said at a press conference, Cheung Kong's current net debt ratio only 7%, is very low. And Hutchison Whampoa this year's income of up to $ 40 billion, and even if not by virtue of the acquisition, their business has excellent growth. The next five years, and the need to repay Bank debts 1300 billion, cash in hand has up to 1060 billion, the company can cope with future development, healthy financial position. 5 August, Cheung Kong released the latest data show that in the first half of this year, the net profit of HK $ 119.23, up about 4%. Over the same period, Hutchison Whampoa (00013.HK) medium-term profit 64.5 billion, an increase of 12%, up better than market expectations. The acquisition of United Kingdom power grid just walked out of the first step, the two parties signed the contract effective date is 24 October this year, but required by the infrastructure of the Yangtze River and the Hong Kong Electric independent shareholders approved, as well as by the European Commission confirmed. However, if conditions are not reached, the seller may charge a termination fee 6.06 billion to 12.12 billion. Ministers and Deputy Chairman of the Hak further explained that if the 700 billion acquisition of United Kingdom power grid asset transaction is complete, the Yangtze River infrastructure debt ratio is still only about 20% to 30%, lower than 2005 levels, there is no financial pressure. "Yangtze River infrastructure have four to five new projects active in research, but would like the United Kingdom has announced power asset size so big, yet cannot be disclosed. United Kingdom power grid of return on assets is about 11%, but there is a certain variables, however and the Yangtze River industrial past investment rate of return. "Hak said. Control of the United Kingdom 25% power distribution market indeed, Li Ka-Shing on United Kingdom public utilities are already interested in the project. Li Ka-Shing business infrastructure in the United Kingdom first step that you want to go back to 1994, when he passed and yellow to United Kingdom first container port Felixstowe into s. Subsequent Li Ka-Shing investments gradually involve the other basic utilities, to individuals or companies to purchase assets. For example, in August 2004, the Yangtze River infrastructure to 5138 million pounds (about 6.25 billion), the full amount of the acquisition of tap water supplier CambridgeWater (Cambridge water supplies). In June 2005, the Yangtze River infrastructure to 5.575 million pounds (about 67.9 million) acquisition of natural gas networks Northern GasNetworks (northern gas networks) 40% of the shares, while the HEC to 2.773 million pounds (about 33.77 billion) takeover of the company 19.9% share, the Group holds NorthernGas Networks59.9% in total. November 2009, the Yangtze River infrastructure and HEC further shares of Northern GasNetworks holdings to 88.4% shezi about 7580 million pounds (about 9.2 billion) in 2010, the Yangtze River infrastructure acquisition power supplier SeabankPower50% interest, price about 2.117 million pounds (about 25.7 billion). A rough estimate, Li Ka-shing has control of the United Kingdom about 25% of the power distribution market, approximately 10% of the gas supply market, as well as 5% of the supply market. 5 August at a press conference, Li Ka Shing Foundation about flag, sincerely say that he is a "gentleman's love of wealth, not only make road, but with the way". In fact, Li Ka Shing Foundation in addition to the charity, the main industry in recent years has also participated in a number of investment activities. Li Ka Shing Foundation became the new stock subscription of the Hong Kong market, such as a stand-in for 2005 and the Royal Bank of Scotland and Merrill Lynch Consortium subscription 50 million Bank of China, 2009, sell 20 million cash 40.6 billion. Later, the Foundation has also become a big Cheong Hong (01828.HK), cnhtc (03808.HK), Sinotrans shipping (00368.HK), China Railway (00390.HK) new shares underlying investors. In February 2007, Li Ka Shing Foundation invested US $ 66 million, shares 0.4% stake in Facebook. Now Facebook has brought to the market value of approximately $ 33 billion, meaning that the Li Ka Shing Foundation shares rise in value, had to 1.32 billion, more than the amount originally invested.