UPDATE 2-Telefonica sells half of China Unicom stake for $854 mln
* Sells a 2.5 percent stake in China Unicom (Hong Kong)
* $HK11.14 sale price represents 3 percent discount
* Telefonica is busy reorganising Latin American business (Recasts with confirmation of sale, adds details)
By Denny Thomas and Tracy Rucinski
HONG KONG/MADRID, Nov 10 (Reuters) - Spanish telecoms giant Telefonica SA sold half of its 5 percent stake in China Unicom (Hong Kong) Ltd on Monday for $854 million, raising fresh funds for acquisitions.
Telefonica has been selling stakes in non-core assets for the last two years in order to raise money for acquisitions in Europe and Latin America, particularly in Brazil, where it is already a leading competitor.
It has agreed to buy Brazilian broadband business GVT for $9 billion and plans to fold it into its Vivo-branded mobile phone business in Brazil to create the country's biggest telecom group.
Sources have also told Reuters it could team up with Brazil's Grupo Oi and Mexico's America Movil to place a joint bid worth around 32 billion reais ($13 billion) for Brazilian telecoms firm TIM Participações .
Telefonica sold 597.8 million China Unicom shares in a block trade at $HK11.14 each - at the bottom end of an up to $11.34 targeted range - according to a term sheet seen by Reuters before the sale, representing a 3 percent discount to the last traded price. Continuación...