China shuns HK Telecom

China shuns HK Telecom

HONG KONG (AFP): China has no plan to take a direct stake in telecommunications giant Hongkong Telecommunications Ltd., a top Chinese official was quoted as saying over the weekend.

Minister for Posts and Telecommunications Wu Jichuan told reporters here late Friday the ministry had "no plans to buy shares" in Hongkong Telecom.

But Wu would not be drawn on whether one of its subsidiaries might get involved in buying a stake in the company.

There have been reports that Chinese interests were considering taking a majority stake in Hongkong Telecom in the run-up to the handover of the British colony to China on June 30.

The Ministry of Posts and Telecommunications is the regulator of telecommunications in China, and is a dominant provider of services under its China Telecom operation.