By Santiago Perez
MADRID--Telefonica SA (TEF) said Sunday it has agreed to sell a 4.56% stake in China Unicom (Hong Kong) Limited (0762.HK) to China United Network Communications Group Co. Ltd (600050.SH) also known as Unicom Parent, for about 1.13 billion euros ($1.74 billion).
Telefonica said in a regulatory filing that the planned sale of more than 1.07 billion shares in China Unicom "forms part of the proactive management of its asset portfolio."
Spain's largest telecommunications company said it continues to be fully committed to its strategic agreement with China Unicon.
Telefonica will own 5.01% of China Unicom following the completion of the transaction by the end of July. The stake sale requires regulatory clearance and forms part of Telefonica's efforts to cut debt.
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