Hutchison Whampoa hopes to start the spin-off of its Italian third-generation telecommunications business as early as next week with a reduced fund-raising target of up to Euro2 billion ($18.8 billion), according to a banking source.
Preparation for 3 Italia's initial public offering is almost complete and the listing documents are due to be sent on January 19, with public subscription to start on January 23 and close on February 3.
The stock was expected to make its trading debut on February 9 at the earliest and February 15 at the latest, pending approval from the Italian securities watchdog, sources said.
A Hutchison spokeswoman declined to comment.
The fund-raising target for the offering, scaled back from Euro2.5 billion, suggests a compromise by the conglomerate's management in the wrangle over 3 Italia's valuation to get the deal done as soon as possible. Hutchison was forced to abandon the original timetable for the flotation, which would have seen it launched by last month.
The new target values the operation at Euro9 billion to Euro12 billion instead of Euro12 billion to Euro15 billion.
The debt level has also been lowered from Euro5 billion to Euro4 billion since Hutchison converted a shareholder loan of more than Euro1 billion into equity, a move partly intended to demonstrate the parent company's confidence in 3G.