Hinduja TMT winds up Hutch stake sale

Hinduja TMT alongwith its 100% subsidiary InNetwork Entertainment (INEL) on August 17, 2006 has completed the sale of its entire stake in Hutchison Essar, according to an official release issued by Hinduja to the BSE today.

In terms of the share purchase agreement entered with Hutchison Telecommunications (I), the first tranche comprising $231 mn was received on June 30, 2006. The company and INEL on August 17, 2006 received the balance sale consideration of $219 million, With this closure, the entire $450 mn has now been received by the respective shareholders of Indusind Telecom Network, which has a 5.11% stake in Hutchison Essar, the release said.

According to Ashok P Hinduja,executive chairman of Hinduja TMT: "This stake sale has encashed a lot of shareholder value in the company, which will be utilized in the best possible manner to enhance shareholder wealth creation."