Wednesday, April 29, 2009

China: China Mobile has acquired 12% of Far EasTone (Taiwan) and entered into a strategic partnership

[light reading] China Mobile Ltd. has agreed to acquire a 12 percent holding in Far EasTone Telecommunications Co. Ltd. , Taiwan's third-largest operator, through a new share issue valued at NT$17.77 billion ($530 million) in total or NT$40.00 ($1.2) per share.

On completion of the deal, the two companies will begin a strategic alliance from which China Mobile hopes to use Far EasTone's experience in rolling out 3G technology, applications, and value-added data services.

Taiwan is one of the world's most mature 3G markets, and 3 million of Far EasTone's 6.2 million subscribers are on the company's 3G network. It was the first in Taiwan to launch 3.6-Mbit/s HSPA in October 2006, and it holds a WiMax license.

The companies also agreed to work together on procurement, roaming, data and value-added services, and network and technology advancement, including research and development on communication standards for future technical developments.

China Mobile Enters Taiwan

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