Press Release

July 26, 1999


For Immediate Release

NTT Communications to Purchase Stake in HKNet


NTT Communications today reached an agreement with CCT Telecom Holdings Limited (CCT Telecom), to acquire a 49% stake in HKNet Company Limited (HK Net), a major Internet service provider (ISP) in Hong Kong.

The agreement calls for NTT Communications to assign two directors to HKNet to participate in the company's management. The two companies will form a strategic partnership to jointly provide various IP-related services, such as IP-VPN, in Hong Kong.

NTT Communications has been focusing on Asia as a market for development of its global IP services. It made the decision to invest in HKNet after considering the quality of the company's services and its promising future in the growing Hong Kong IP market.

NTT Communications will provide high-quality Internet services, such as IP-VPN, through its strategic tie-up with HKNet, and will make use of the tie-up to enrich services for corporate users currently being provided by the NTT Communications group under the "Arcstar" brand.

About HKNet Company Limited


Hong Kong

Chairman: Mak Shiu Tong Clement

Managing Director: Barry Wong

Parent Company
CCT Telecom Holding Limited (please see attachment)HK Net Holding Limited

Internet access
Web hosting
System integration
ISR voice and data


Not listed


For more information, please contact.