Citic Telecom Said to Buy 79 Percent of Macau Telecom Operator

Citic Telecom International Holdings Ltd. (1883) plans to buy 79 percent of a Macau phone operator for about $1.16 billion, according to two people with knowledge of the transaction.

Citic Telecom will buy 51 percent of Companhia de Telecomunicacoes de Macau, S.A.R.L. from Cable & Wireless Communications Plc. (CWC) for about $750 million, the people said, declining to be identified before the announcement. Citic Telecom will buy a 28 percent stake from Portugal Telecom SGPS (PTC) SA for about $410 million, the people said.

The three companies signed the agreement yesterday in London, the people said.

Citic Telecom bought 20 percent of the Macau phone operator, also known as CTM, in February 2011 for HK$1.4 billion ($180 million).

To contact the reporters on this story: Vinicy Chan in Hong Kong at vchan91@bloomberg.net; Jonathan Browning in London at jbrowning9@bloomberg.net

To contact the editor responsible for this story: Hwee Ann Tan at hatan@bloomberg.net

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