On November 4, ZTE rose 3.14% in Regular Trading, trading at HK$20.0, with turnover of HK$116 million.

The move coincided with the company’s response to market rumors alleging it was discussing a handset-business cooperation plan with a major internet company and local state-owned capital, including a packaged sale of the mobile phone unit at a valuation of about RMB40 billion.

ZTE said on November 3 that the reported content was seriously inconsistent with the facts and added that it reserved the right to pursue legal action against false reporting and dissemination. The clarification appears to have eased uncertainty around its consumer business, which remains one of the company’s three core segments alongside operator networks and government and enterprise business.

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