Hutchison Whampoa shares recorded their biggest one-day gain in 16 months amid an upturn in investor sentiment towards European telecoms operators.
Hutchison, with five European third-generation (3G) mobile licences, rose HK$4 or 6.5 per cent to HK$65.25, closing higher than its pre-September 11 level for the first time.
On Tuesday, the French Government revised its terms for allotting 3G licences in an attempt to relieve the capital expenditure burden on operators building out the next-generation networks.
Operators have spent billions of dollars buying 3G licences in British and German auctions. Hutchison, which has five European licences - in Britain, Italy, Sweden, Austria and Denmark - is not expected to participate in the French auction. Analysts said other governments might lean towards more flexibility.
Hutchison has also disclosed it sold an estimated 126.4 million Vodafone shares last week, taking its holding to below 3 per cent. The sale, which could net Hutchison HK$2.3 billion, takes its stake below the disclosure threshold, meaning Hutchison can sell its remaining holdings without reporting it to the market.
