China Netcom set to gain largest PCCW stake

The ownership structure of Hong Kong’s PCCW is set to change again after Newbridge Capital indicated that it would sell a 5.77% stake in the telco to China Netcom. Currently, PCCW chairman Richard Li holds a 20.85% share in Hong Kong’s largest fixed line provider, slightly higher than China Netcom’s 20%. Newbridge was recently granted permission by Li to purchase a 25% stake held by minority shareholders in the Singapore-listed Pacific Century Regional Development, which holds 23% of PCCW. After the transactions are complete, Newbridge will hold an indirect stake of 5.77% in PCCW.