China Unicom clarifies new JV plan with Tencent

China Unicom said in a statement on Wednesday night that a new joint venture with Tencent Holdings Ltd has not yet finalized the registration process, which will have no significant impact on the company's current operation.

The new joint venture will be established by the venture capital arms of the two companies, and it will focus on a content distribution network and edge computing technologies. The venture capital arm of China Unicom will hold 48 percent of the shares while Tencent's subsidiary firm will hold 42 percent, according to the website of the State Administration for Market Regulation.

China Unicom said Tencent is the company's long-term strategic investor, and the new JV is a normal business cooperation between the two sides.

China Unicom added that the new JV's investment size does not reach the threshold of Shanghai Stock Exchange's information disclosure requirements for listed firms.