Lycamobile still keen to buy Hutch

Lycamobile, a mobile virtual network operator (MVNO) operating in 21 countries worldwide from London is still keen to purchase Hutch mobile in Sri Lanka.

“We have made a very sound offer to the company and we were about to go ahead with the deal,” an official from Lycamobile said. He said they are still keen to go ahead.

Lycamobile owned by a Sri Lankan first made an offer to buy the local company last year.

While the deal was about to the inked Sri Lanka Telecom Mobile came forward with an offer which was US$ 8 million more than the quoted price of Lycamobile. This offer was hotly challenged by the some of the board members saying it was not realistic.

This controversy led to one of the Mobitel board members resigning as well.Subsequently the deal was stalled.

The bulk of Lycamobile revenue is claimed to be generated from Lycamobile’s SIM products.

Lycatel, also a part of Lyca Group, serves its growing base of customers within expatriate and ethnic global niche segments that want to make international calls. In Hong Kong, Lycamobile has a partnership with Hutch.

“If we could get the earlier quoted price we are still keen to buy Hutch,” the official said from Berlin.

He said their Chairman is a Sri Lankan and he is keen to give more to the country. “He has already spent Rs.150 million to build 100 houses in the North and in addition he is also spending Rs. 1.2 million every month to offer educational scholarships to 100 students for their education in the south.”

Related posts