Taiwan Raises Chunghwa Telecom Foreign Ownership Cap to 55%

The Taiwan government has raised the cap on foreign ownership in Chunghwa Telecom to 55% from the previous 49%, a senior government official said Wednesday.

The ceiling on direct foreign ownership remains unchanged at 49%, and the change relates to the cap on combined direct and indirect foreign ownership said Tony Teng, director general of posts and telecommunications at the Ministry of Transportation and Communications.

The change took effect Friday, according to the ministry's Web site.

Chunghwa Telecom, Taiwan's largest phone company by revenue, is 35.25%-government owned.

Foreign institutional investors held 44.52% of Chunghwa Telecom as of Monday, according to the Taiwan Stock Exchange.