China Mobile is investing in the software supplier AsiaInfo. The latter announced an agreement to sell 182 million new shares to China Mobile, giving it an around 20 percent stake in the company.
This makes the operator the second-largest shareholder in AsiaInfo. The company said the deal will strengthen their long-term cooperation at the strategic level and allow them to explore together development opportunities. Cooperation may cover areas such as 5G network intelligence, digital operations, vertical industries and enterprise cloud.
AsiaInfo expects net proceeds from the share sale of HKD 1.384 billion. Around 40 percent of this will go to R&D investment in new products and technologies, as well as the business development of OSS, digital operations, vertical industry and enterprise cloud; 35 percent will be used for investment or acquisition of assets and businesses that complement the company's business; and 25 percent will be general operating capital.
