JPMorgan Chase released a research report stating that there are reports that PCCW has potentialdefigamingcryptoThe sale of optical fiber business may refer to Hong Kong Telecom's divestiture of its international submarine optical fiber business. If the post-transaction cash proceeds are between 8defigamingcryptoThe expected level of HK$.50 million to HK$900 million is expected to be used to repay debt. The sale is expected to benefit more from Hong Kong Telecom, helping its net debt to less than three times EBITDA and driving a dividend increase by 7%.

The bank continues to be bullish on Hong Kong Telecom, believing it to be relatively defensive, an attractive 9% yield and a stable financial outlook. At the same time, the bank is concerned that PCCW will have a small discount to its stake in Hong Kong Telecom. In response to media reports on the sale of optical fiber business, PCCW's share price has increased by about 5% compared with Hong Kong Telecom in the past two days. However, the bank advises investors to pay attention to Hong Kong Telecom after stock price changes.