Hutchison Telecom International (HTIL) today said it would plough back the money it gets from the sale of Indian assets for expansion of existing operations and also pay shareholders a dividend of HKD 6.75 per share.The company, which has offloaded 67% stake in India's fourth largest mobile player Hutch-Essar to British mobile giant Vodafone for $11.1 billion, said it would also use $1.8 billion to retire debt."We have generated superb return for shareholders from our investment in India, and I will be pleased to recommend to the board of Hutchison Telecom a special dividend on the completion of the transaction," CEO Canning Fok said.The balance of the net proceeds from the transaction would be used to invest in telecommunications businesses including expansion of the company's existing operations and for working capital and general corporate purposes.The company is expected to invest the money in other emerging markets while it cannot re-enter India for three years under a non-compete agreement with Vodafone.Hutchison also said it would pay a special dividend of $12.96 per American depositary receipt.The final amount of the special dividend and other details of its payment arrangement would be announced upon obtaining further approval of the board to be sought after completion of the sale has occurred, it added.After paying the special dividend and using up to $1.8 billion to reduce debt, the company intends to retain around $5 billion to re-invest in both its existing operations and new opportunities.
