PCCW announced in Hong Kong that it had signed a formal agreement with China Netcom to acquire 50% of the stake of China Netcom Broadband Corporation Ltd. (CNBC), an affiliate of China Netcom.

The deal is worth CNY318 million.

PCCW said that it would assign a financial supervisor and operation supervisor to take part in CNBC's daily operations and may nominate members for the Board of Directors in proportion to the share it holds.

The acquisition will be completed within one year.