China Unicom shares rise on equity sale plan

SHANGHAI: Shares in China’s second-largest telecoms carrier China Unicom soared yesterday after it reiterated previously retracted plans for an almost US$12 billion (RM51.48 billion) stake sale involving high-profile investors including Tencent, Baidu and Alibaba.

China United Network Communications Ltd (CUNC), the listed arm of China Unicom, would sell shares worth 77.9 billion yuan (RM50.19 billion) to 10 investors, according to a statement to the Shanghai exchange.

CUNC shares jumped by the 10 per cent daily limit, here, after the announcement. China Unicom shares in Hong Kong surged more than eight per cent.

The plans were first announced last week but, puzzlingly, were retracted for “technical reasons”, leaving investors in limbo.

But they were re-released in the latest statement, unchanged and with no elaboration on the reasons for the earlier aboutface. AFP