Hong Kong telecommunications firm PCCW has been granted approval to spin off its telecommunications business into a separately listed business trust. The proposal was earlier rejected by the stock market regulator but the company has made some changes to the plan, which has now been approved by the Listing Committee. The major change to the proposal included a specific commitment to retain the solutions business within the group for at least three years. PCCW intends to dispose of only a minority stake in the business trust through the listing process and will maintain a controlling stake. The plan is subject to approval by shareholders and the company hopes to complete the plan in the fourth quarter of this year.
