HP Networking Sale Said to Draw China Electronics, Buyout Funds

Hewlett-Packard Co.’s sale of a majority stake in its Chinese networking unit has attracted interest from potential bidders including state-owned China Electronics Corp. and Citic Capital Partners, people familiar with the matter said.

Hewlett-Packard aims to complete an agreement to sell 51 percent of H3C Technologies Co. by the end of March, the people said. The deal has also drawn interest from CDH Investments Fund Management Co. and ICBC International Holdings Ltd.’s direct-investment arm RT Capital, the people said, asking not to be named as the process is private. H3C is valued at about $5 billion, a person familiar said in October.