Citic Telecom International Scraps Plan to Buy 39% Stake in Citic Networks

By Joanne Chiu Features Dow Jones Newswires

Citic Telecom International Holdings Ltd. (1883.HK) has abandoned a plan to issue new shares to its state-owned parent for a 39% stake in Citic Networks Co.

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The Hong Kong-listed company said late Wednesday that the termination came after certain conditions related to the proposed acquisition and share issuance hadn't been met before the deal's expiration date.

Citic Telecom in August 2015 unveiled a plan to issue new shares to Citic Group Corp. for the Citic Networks stake, with an estimated valuation of 1.29 billion yuan ($201.5 million).

Citic Networks is the parent of China Express Network, which owns optic fiber networks in China.

Write to Joanne Chiu at joanne.chiu@wsj.com

(END) Dow Jones Newswires

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July 05, 2017 06:20 ET (10:20 GMT)