CK Hutchison Holdings, the Hong Kong-based conglomerate controlled by the city’s richest person Li Ka-shing, has agreed to sell its 49% stake in a joint venture with U.K. telecom giant Vodafone for £4.3 billion ($5.8 billion) in cash.

Following the transaction, Vodafone will take full control of VodafoneThree, the two companies said on Tuesday. In a separate statement, Vodafone said the deal is expected to be completed in the second half of this year, subject to regulatory approval.

CK Hutchison’s Hong Kong-listed shares rose as much as 4.7% as of Tuesday afternoon.

CK Hutchison and Vodafone first announced the merger of their U.K. mobile network businesses in 2023 and completed the deal in May 2025. The transaction created the U.K.’s largest mobile network operator with more than 28 million customers.

In a Hong Kong stock exchange filing, CK Hutchison said its exit from VodafoneThree will strengthen its financial position and provide the capital for business expansion, infrastructure upgrades as well as potential investments or acquisitions in the future.

“This transaction is a win-win for the group and for our partners,” said CK Hutchison’s co-managing directors, Frank Sixt and Dominic Lai, in a statement. “It generates substantial cash proceeds to the group and crystallises solid value for the group from our investment.”

The transaction is part of CK Hutchison’s efforts to boost shareholder returns. In February, the conglomerate agreed to sell UK Power Networks, the country’s largest electricity distribution network operator by customer base, to French utility giant Engie for £10.5 billion. It’s also seeking to offload ports in the Panama Canal as part of a $23 billion deal, though the transaction is in limbo due to U.S.-China geopolitical tensions.

In 2025, telecom was CK Hutchison’s second biggest revenue stream after retail. Other than the U.K., it runs telecom businesses in Austria, Denmark, Ireland, Italy and Sweden, as well as in Hong Kong. Headed by Li’s eldest son Victor, CK Hutchison also has operations in infrastructure, biopharmaceuticals and energy in more than 50 countries.

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