Hutchison to launch 3G service as expected

Hutchison Whampoa (0013) announced yesterday that NEC of Japan became the 3G wireless equipment provider of the company after Motorola, adding that it would invest HK$770 mln in purchasing 4 mobile network operations in India. Goldman Sachs pointed out in a report that these moves showed that Hutchison Whampoa had the determination to launch 3G service in Europe in the third quarter of 2002 as expected and further expand the global telecom market. The fund house maintained the investment rating of the company at ˇ§recommending listˇ¨ and predicted that its future 12-month target price would hit HK$100. Furthermore, it forecast that its net profit in 2001 would increase 13.75% to HK$38.795 mln and per share earnings reach HK$9.1. Hutchison Whampoa continued to slip after the opening this morning and eroded 0.33% to latest stand at HK$76.5 off a lowest level of HK$76.25.

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