- Following earlier moves (and moves yesterday) in Hong Kong, the big three Chinese telecoms are up in U.S. trading after a reorg saw China following through on putting 231.4B yuan (about $36B) of infrastructure into a towers spinoff.
- As expected, China Tower Corp. will be 38% owned by China Mobile (CHL +1.4%), and China Unicom (CHU +6.5%) and China Telecom (CHA +3.8%) will have about 28.1% and 27.8% respectively.
- China Reform Holdings will own about 6%.
- The move should help overhaul a bloated state sector as it cuts redundancy among assets and helps build out better and faster networks -- including building a network of electric car charging stations, Bloomberg said.
- Earlier in Hong Kong, China Mobile finished down 1.6%; China Unicom up 0.4%; and China Telecom up 1%.
- Previously: China Unicom may have most to gain from planned towers spinoff (Oct. 13 2015)
- Previously: China telecoms up on reports of investment in China Tower venture (Oct. 12 2015)