Hong Kong media reports that Spanish telecom company Telefonica will hold an additional 5% stake of China Netcom by the end of this year, which will make its total stake in the company reach 10%.

Along with the stake increase, Telefonica will win another seat in the Board of Directors of China Netcom.

A representative from China Netcom says the two parties are in negotiation on the Telefonica increase, so there are no further details to be released right now.

At the beginning of this year, China Netcom expressed its wishes to have Telefonica increase its stake by the end of this year.