Chinese tech giant Tencent Holdings and state-owned telecommunications firm China Unicom have received regulatory approval to set up a so-called “mixed ownership” company, a public document showed on Wednesday.
China has been accelerating its push for mixed-ownership reforms in an effort to boost the competitiveness of state firms.
It was not immediately clear what the planned company would do.
Shares in China Unicom surged 10% in Shanghai, forcing a temporary suspension of trade. Trade in its Hong Kong-listed shares had ended before the news emerged as the stock market there was closed early due to a typhoon.
The State Administration for Market Regulation approved the application, according to a list it published.