China Netcom-Telefonica Take the Reins of PCCW

Hong Kong's telecoms regulator OFTA still has to confirm the sale of PCCW's 23% stake to investment banker Francis Leung, and indeed, his plan to sell 20% of this to China Netcom and Telefonica, but there are concerns in Hong Kong at the hold China Netcom will have on Hong Kong's telecoms market. As the largest fixed line operator, PCCW is a significant player, and it appears that between them China Netcom and Telefonica will hold a 28% stake in the operator. Coming below the 30% level, this means that the companies will not have to make a general offer

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