PCCW seeks $2.5bn in funding

NEWS Telecoms and internet company Pacific Century Cyberworks (PCCW) is on the verge of a corporate bond issue believed to be worth up to $2.5bn. The Hong Kong-based player owes around $4.7bn and needs funds. Earlier this week PCCW chief executive Richard Li announced cutbacks at the company's Network of the World (NOW) multimedia subsidiary, which broadcasts over satellite in Asia and over the web. A bond issue would be seen to take advantage of recent favourable ratings of PCCW and low interest rates. Barclays, HSBC, JP Morgan and Morgan Stanley are expected to help market and sell the bonds, according to the FT. PCCW came of age when it bought Hong Kong Telecom from Cable and Wireless, becoming a major telecoms player.