Telecom tycoon increases stake in Hong Kong newspaper

13 Aug 2007
00:00

(Associated Press via NewsEdge) Hong Kong telecom tycoon Richard Li has become the controlling shareholder of the respected financial newspaper Hong Kong Economic Journal by increasing his interest from 50% to 70%, a newspaper reported.

The 40-year-old Li, the younger son of billionaire Li Ka-shing, bought the 50% stake in the privately owned newspaper last August for a reported HK$280 million ($36 million).

The Hong Kong Economic Journal, owned by Lam Shan-muk and his wife Lam Lok Yau-mui, at the time agreed to gradually sell their 50% stake to Li, and they have now sold another 20% to him, the Ming Pao Daily News reported Friday.

A spokesman for Li didn't immediately return a reporter's call seeking comment.

The acquisition by Li, chairman of Hong Kong telecom company PCCW, drew government scrutiny because Hong Kong law prohibits an owner of a local newspaper to also control a domestic television broadcaster.

PCCW, a leading phone operator, is also holds a license for a pay-television service.

Broadcasting Authority spokeswoman Viola Kwan said the government is still investigating Li's interest in Hong Kong Economic Journal.

Analysts said when Li bought into the newspaper he may be interested in other media properties.

Li has tried but failed to make PCCW into a high-tech powerhouse. Last year he tried unsuccessfully to sell his controlling stake in PCCW.

© 2007 The Associated Press

© 2007 Dialog, a Thomson business. All rights reserved

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