China Unicom -6.2% as it might miss privatization reforms

|About: China Unicom (Hong Kong) L... (CHU)|By:, SA News Editor

Hong Kong-listed China Unicom (NYSE:CHU) is off 6.2% after indications that Chinese government plans for mixed ownership of its state-owned companies might pass the wireless carrier over.

Its Shanghai affiliate (China United Network Communications) might see a partial privatization, but China Unicom (the country's No. 2 wireless carrier) didn't mention any change at its own Hong Kong company.

Reforming the Shanghai firm without changes at Unicom may disappoint investors, writes Nomura's Joel Ying.

Unicom Group was one of six state-owned enterprises picked by China's government for the mixed-ownership pilot program.