Another China Telecom/Unicom M&A rumour spreads

Another China Telecom/Unicom M&A rumour spreads
8/10/2006, Reported by Local press copied from Hongkong media, China Telecom will enter 3G mobile communication market though purchasing CDMA network from China Unicom. The news increases China Telecom's HK stock price by 4.56%. China Mobile, China Netcom and China Unicom's HK stock all increase at this news also.
The same as before, China Telecom, China Unicom, MII, SASAC(State-owned assets Supervision and Administration Commission) denied this news at once.
I donot remember how many times there is such news copied from HK media then spread through local media, some telecom analyst even think that such news is conceived by some Hongkong securities invsetors, because such news always can send those state-owned carriers' stock price higher.
Local analyst also point out that China Telecom donot have enough cash to make this purchasing.