UniCom Group to Achieve an Overall Listing
China Unicom Ltd. (NYSE: CHU, SEHK: 0762, and SHSE: 600050) announced on November 16, 2007 that it would acquire the assets of its parent China United Telecommunications Corporation (Unicom Group) in Guizhou Province, southwest China, for CNY 880 million.
The aforesaid acquisition will mark the overall listing of Unicom Group, China’s second largest mobile communications giant.
The Guizhou assets include the group’s Guizhou branch’s GSM cellular telecommunication assets and business, CDMA cellular telecommunications business which is operated through renting CDMA network capacity from Unicom New Horizon Mobile Telecommunications Co., Ltd., a wholly-owned subsidiary of the group.
The branch gained a revenue of CNY 1.029 billion from its major business, a profit of CNY 65.49 million, and a net profit of CNY 37.32 million for 2006. As of December 31, 2006, the branch’s audited book value of the net assets was approximately CNY 424 million.
In June 2004, China Mobile Ltd. (SEHK: 0941), the archrival of China Unicom, became the first mobile communications operator in the country which achieved the overall listing.
Tags: China-Mobile, China-Unicom, GSM