Hutchison Resubmits Bid For Debt-Laden Irish Telecom

Hong Kong-based diversified holding company Hutchison Whampoa Ltd. (Hong Kong: 0013) resubmitted its €2 billion ($2.62 billion) cash bid for Dublin-based Eircom Group Ltd., the closely held fixed, mobile and broadband telecommunications services provider.

Eircom would provide a good opportunity for Hutchison to buy what is Ireland's biggest telecom operator, and Eircom would get an operator as an owner if it worked out, a source close to the case told MarketWatch Friday.

The initial offer made last month by Hutchison's Three Ireland subsidiary was rejected by a court-appointed examiner for having too many conditions.

Eircom is currently restructuring €3.7 billion in debt, the largest insolvency in Irish history. Hutchison is boosting its wireless acquisitions in Europe, according to Bloomberg News. It recently agreed to purchase Orange Austria for €1.3 billion, a deal being scrutinized by European regulators. The company's 3 Group has telecom assets in in six European countries and Australia.

The initial offer made last month by Hutchison's Three Ireland subsidiary was rejected by a court-appointed examiner for having too many conditions.

Hutchison, a Fortune 500 company, operates ports and telecommunications assets and owns retail and real estate properties. The company's stock closed down 0.26 percent to HKD75.80. The stock price has risen nearly 2.8 percent since April 27.