Telefonica is selling a 4.56 percent stake in China Unicom to the latter's parent, China United Network Communications Group Company. The group will buy the stake at HKD 10.21 per share or a total HKD 10.95 billion (EUR 1.13 billion). Completion of the transaction is expected before the end of July and is conditional upon the relevant regulatory approvals. The stake China Unicom's parent company holds will go up to 76.52 percent after the acquisition of Telefonica's shares, while Telefonica will own around 5.01 percent in China Unicom after the sale. The sale is part of Telefonica's earlier announced plans to sell off assets in order to raise cash for reducing debt. The Spanish company said it remains committed to the strategic alliance with China Unicom and will not sell additional shares in the company for 12 months.
