New World Telecommunications
| Company type | Subsidiary |
|---|---|
| Industry | Telecommunications |
| Predecessor | Rowenty Power |
| Founded | January 14, 1992 |
| Defunct | February 2016 |
| Fate | Acquired by Hong Kong Broadband Network |
| Headquarters | Hong Kong , China |
Area served | Hong Kong, Macau, Shenzhen |
| Parent | New World Development (via New World Telephone Holdings) |
New World Telecommunications Limited (abbr. NWT), also referred to as New World Telecom, was a fixed-line telecom operator based in Hong Kong S.A.R., China. It functioned as a subsidiary under New World Development via New World Telephone Holdings. In February 2016, competitor Hong Kong Broadband Network (HKBN) acquired New World Telecommunications. Subsequently, the company was rebranded as HKBN Enterprise Solutions, operating as an HKBN subsidiary and broadening its enterprise solutions offerings.
History
The origins of New World Telecommunications trace back to 1992 when it was formed by converting Rowenty Power, a shelf company incorporated on 14 January 1992 in British Hong Kong. Initially branded as New World Telephone, it operated as a subsidiary of New World Telephone Holdings, itself owned by New World Development. The firm secured a fixed-line telephone licence in 1995.
After the telecommunications market in Hong Kong was deregulated in 2003, New World Telecommunications entered into competition with Hutchison Global Communications and Wharf T&T, challenging the leading PCCW (previously Hong Kong Telecom). Its services were primarily targeted at corporate clients.
New World Telecommunications had an affiliated entity, New World PCS Holdings, which provided mobile network services under the same corporate group. In 2004, New World PCS Holdings was sold to Asia Logistics Technologies through a backdoor listing process. Asia Logistics Technologies later changed its name to New World Mobile Holdings until 2010. The successor company, CSL New World Mobility, was divested by New World Development to Hong Kong Telecom (a PCCW subsidiary) in 2013.
In February 2016, New World Telephone Holdings divested New World Telecommunications along with associated operations in Hong Kong, Macau, and Shenzhen to rival Hong Kong Broadband Network (HKBN) for HK$650 million. This acquisition by HKBN was reportedly structured as a leveraged buyout financed over five years by JPMorgan Chase. The Communications Authority of Hong Kong opted not to initiate an investigation under the Competition Ordinance, reasoning that HKBN’s focus on residential customers contrasted with New World Telecommunications’ business client base, thereby not intensifying market concentration.
According to the Financial Times, this sale alongside CK Hutchison Holdings’ disposal of Hutchison Global Communications in 2017 reflected succession planning among prominent Hong Kong tycoon families amid retirements and passing of founders. Notably, Cheng Yu-tung, founder of New World Development, passed away in September 2016. While speculation suggested a complete exit from the Hong Kong market, analysts interpreted the divestiture as part of a broader strategy to consolidate the group’s core operations.
External links
- Official website (archived)
- Articles with short description
- Telecommunications companies of Hong Kong
- Telecommunications companies established in 1992
- Chinese companies disestablished in 2016
- Former New World Development subsidiaries
- 1992 establishments in Hong Kong
- 2016 disestablishments in Hong Kong
- Telecommunications companies disestablished in 2016