CWC and CITIC confirm ownership talks

Cable & Wireless Communications (CWC) has confirmed reports that it is in talks to sell its 51% controlling stake in Companhia de Telecomunicacoes de Macau (CTM) to Hong Kong-listed international wholesale telecoms carrier CITIC Telecom International, which already owns 20% of the Macau telco. CITIC Telecom International also confirmed that the discussions were taking place, adding that no agreement had yet been reached. As reported by the Wall Street Journal, CITIC Telecom International plans to fund the acquisition from its internal resources, bank or debt financing, or equity financing, including a rights issue. Additionally, its owner CITIC Pacific is considering selling some of its shares in CITIC Telecom International to its parent, the Chinese state-backed CITIC Group.