Hutchison Telecom to Acquire Asia Global Crossing Holdings

HONG KONG, May 1 -- Hutchison Telekom Ltd. has agreed to pay $120 million in cash to buy out Asia Global Crossing Ltd.'s shares in three joint ventures that the two companies set up in Hong Kong. The deal reportedly will help steady Asia Global Crossing as it seeks investment after the bankruptcy of its parent company, Global Crossing Ltd.

Hutchison Telecom, a wholly owned subsidiary of conglomerate Hutchison Whampoa Ltd., will acquire Asia Global Crossing's 50% stake in Hutchison Global Crossing, its 42.5% stake in ESD Services and its 50% stake in Hutchison GlobalCenter.