|By ACN Newswire||
|November 18, 2012 10:02 PM EST||
Upon completion of the deal, China All Access will become the controlling shareholder of Changfei Investment, an investment conglomerate with capabilities in large-scale R&D and production of mobile terminals (including 4G terminals). In turn, ZTE, the world's leading player in telecommunications and China's largest publicly-listed telecommunications equipment manufacturer, will become the second largest shareholder of China All Access.
CAA will draw from the cross-investment arrangements significant advantages of vertical integration, significantly expanding its leading edge and innovative R&D capacities of CAA's mobile terminals (including 4G terminals) in extensive public administration and industry applications, and effectively upgrading the asset scale and profitability.
Changfei Investment is China's top-tier investment conglomerate specializing in providing comprehensive mobile terminals (including 4G terminals) solutions, with an investment business spanning all stages of R&D, integration and manufacturing for mobile terminals and auxiliary products. Buttressed by ZTE's expansive industry platform, Changfei Investment has developed strong terminal R&D capabilities and production infrastructure over the past few years. This investment will realize for CAA multiple synergic advantages in product development, technology R&D, marketing, and business development. It is also expected to provide powerful impetus for China All Access's existing business in the R&D and production of wireless data terminals (Jinwutong and 4G mobile terminals), as well as satellite communication equipment terminals.
Mr. Alfred Shao, CEO of China All Access, said, "As China's leading public and industry communications solution provider, China All Access is proud of our special advantages in the fields of emergency communication, public security and comprehensive urban management, where we have built a solid foundation across the public security, traffic police, fire control, civil defense and radio management sectors. As government and business clients constantly raise the bar on our products in terms of the level of sophistication, confidentiality and security, the acquisition of Changfei Investment will enable the organic integration of our design, R&D and manufacturing abilities and bring China All Access's public and industry communications solution business to new heights. We are confident as a result of this deal, our leadership in the industry will be further consolidated, which spells ever more robust and sustainable profit growth and ever better returns to our shareholders. "
Copyright 2012 ACN Newswire. All rights reserved.
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