China Telecommunications will brave heightened global stock market volatility and press ahead with a scaled-down plan to raise US$3 billion to US$3.5 billion from a dual listing in Hong Kong and New York this autumn, according to banking sources. China's biggest fixed-line operator was planning to start pre-marketing activities for a global share offering in the third week of September and aimed to list as soon as October, sources familiar with the plan said. Its fund-raising target is a far cry from the US$10 billion touted in December 2000 when China Telecom - then a monopoly - appointed Morgan Stanley, Merrill Lynch and China International Capital as joint global co-ordinators. It is also lower than the US$5 billion revised target after the monopoly was split into northern and southern units in a restructuring aimed at encouraging competition and greater efficiency. After the geographical split, China Telecom was given networks in 20 provinces in the south, while northern firm China Netcom's assets include 10 provincial networks in the north and young high-speed network operators China Netcom and Jitong Communications Group. Analysts expected China Telecom to list units in its most developed networks in the provinces of Zhejiang, Guangdong and Jiangsu, as well as the municipality of Shanghai. During pre-marketing, underwriters will test fund managers' demand for the company's shares, and if the response is good, a marketing roadshow will be launched to sell its shares more aggressively. Although China Telecom is much less attractive in terms of growth compared with its mobile peers, analysts said Beijing was keen to list it overseas to raise funds for industry reforms. 'The more important thing is to get it listed first. It would get a lower valuation than it would have two years ago, but it could further inject assets [into the company] to grow,' one source said. Hit by a drastic fall in long-distance, leased line and Internet charges, the former monopoly recorded a mere 6.5 per cent growth in revenue last year to 181 billion yuan (about HK$169.59 billion) after 15 per cent growth to 170 billion yuan in 2000.