Jul, 2001 : iAsiaWorks Exits Hong Kong, Focuses On Taiwan and Korea
📅 - iAsiaWorks (iasiaworks.com), a leading provider if Internet data center services in the Asia-Pacific region, announced on Monday that it has taken steps to liquidate its Hong Kong subsidiary.
The Company says it intends to exit operations in Hong Kong and, consistent with Hong Kong law, intends to hire a provisional liquidator. iAsiaWorks' Hong Kong subsidiary has entered into a non-binding Memorandum of Understanding with PCCW Powerbase Data Center Services Limited, whereby iAsiaWorks will refer part of its Hong Kong customer base to Powerbase.
According to iAsiaWorks, the company is taking this action to reduce debt load and ongoing operating costs. In shutting down its Hong Kong subsidiary, iAsiaWorks will lose approximately US$10.4 million in annualized revenue.
Subject to obtaining additional financing and other developments, the Internet data center company intends to focus its resources on Taiwan and Korea, the two Asian markets where it owns its own data centers and believes the opportunity is the greatest.
iAsiaWorks is also in talks with its creditors to restructure its debt, and hopes to raise additional equity capital to fully fund its more narrow business focus.
The Company says it intends to exit operations in Hong Kong and, consistent with Hong Kong law, intends to hire a provisional liquidator. iAsiaWorks' Hong Kong subsidiary has entered into a non-binding Memorandum of Understanding with PCCW Powerbase Data Center Services Limited, whereby iAsiaWorks will refer part of its Hong Kong customer base to Powerbase.
According to iAsiaWorks, the company is taking this action to reduce debt load and ongoing operating costs. In shutting down its Hong Kong subsidiary, iAsiaWorks will lose approximately US$10.4 million in annualized revenue.
Subject to obtaining additional financing and other developments, the Internet data center company intends to focus its resources on Taiwan and Korea, the two Asian markets where it owns its own data centers and believes the opportunity is the greatest.
iAsiaWorks is also in talks with its creditors to restructure its debt, and hopes to raise additional equity capital to fully fund its more narrow business focus.
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URL source: http://www.thewhir.com/marketwatch/iasiaworks703.cfm
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