Unicom purchases fixed assets from parent

22 Nov 2012

Chinese telco China Unicom has announced that it has purchased the fixed line network assets of parent company Unicom Group for CNY12.166 billion (USD1.937 billion). China Unicom purchased a 100% equity interest in Unicom New Horizon, which owns the group’s fixed line networks in 21 cities and provinces in southern China. Reuters reports that the telco chose to acquire the assets as the depreciation costs would be lower than leasing fees paid to the parent company.

China, China Unicom, China Unicom Corporation (CUCL)