In a move to offload its non-core businesses, Chinese telecom equipment manufacturer Huawei Technologies is reportedly planning to sell its 49 per cent stake in a joint venture with the USbased 3Com for $882 million. The deal, which requires the Chinese government’s approval, could give 3Com full ownership of H3C. 3Com has already placed its bid for Huawei’s stake.
Consequently, Huawei had made a counter-offer to buy 3Com’s stake in H3C. However, this was done to force 3Com to increase its buyout price. The proceedings from the stake sale would enable Huawei finance its core businesses, and fixed and mobile convergence solutions.
