ZURICH (Reuters) - Sunrise Communication’s quarter-owner Freenet said on Thursday it will not take part in a $4.1 billion rights issue to fund the Swiss telecommunications group’s takeover of Liberty Global’s UPC Switzerland business.

German-based Freenet, which owns 24.5 percent of Sunrise shares, said it was “bothered” by the form of the transaction, arguing it primarily saddles existing shareholders with the risks and said the structure of transaction was “challenging”.