Tycoon Richard Li Said to Near Fiber Sale to China Merchants

PCCW Ltd., the telecommunications group controlled by Hong Kong tycoon Richard Li, is in advanced talks to sell a significant minority stake in its fiber business to China Merchants Group Ltd., according to people familiar with the matter.

PCCW is close to selling 40% of its fiber unit to the Chinese state-owned conglomerate for $850 million to $900 million, the people said, asking not to be identified because the discussions are private. PCCW and China Merchants are finalizing details and an announcement could be made as soon as the coming weeks, the people said.