Hong Kong pay TV broadcaster i-Cable takes ‘important step’ to stay afloat

Cash-strapped broadcaster i-Cable Communications has taken an “important step” towards carrying on its business, chairman Stephen Ng Tin-hoi said on Tuesday amid fears of an impending shutdown.

Ng, who is also chairman of i-Cable’s parent company Wharf (Holdings), made the announcement in an internal circular to staff.

The letter did not contain details of the steps taken. But it was issued as a consortium called Forever Top led by tycoon David Chiu Tat-cheong admitted earlier that it had reached out to i-Cable to discuss investing in the company.

“I am pleased to advise that a small but important step has been taken towards enabling the company to accept a new pay TV licence and to carry on with its pay TV, free TV and broadband businesses,” the letter said.

“Fuller information is expected to be disclosed later this week after an announcement has been cleared with [the Securities and Futures Commission and Stock Exchange]. In the meanwhile, it is business as usual.”

Forever Top said in a statement that the company had always been interested in the television industry and looked forward to working with like-minded people. The company was working hard to reach that goal and “will announce the progress at a suitable time”, the statement said.

I-Cable halted trading on Tuesday morning. In another statement the company said trading was halted “pending the release of an announcement which is inside information of the company”.