Huawei and other Chinese operators plan to jointly obtain 100% shares of TD Tech

Huawei, Chengdu Hi-Tech, and some other Chinese operators plan to jointly purchase 100% equity shares of TD Tech. Notably, TD Tech is a joint venture between Nokia and Huawei that came into existence in 2005.

As per the details, the State Administration for Market Regulation has recently declared that operators like Huawei and Chengdu Hi-Tech can acquire 100% TD Tech shares. This act may lead to noteworthy changes in the future.

TD Tech was founded by Huawei and Nokia in 2005. It has set up R&D centers in Beijing, Shanghai, and Chengdu with more than 1200 staff members. Besides, the firm has three business groups: public network, private network, and security devices.

So far, Huawei and Nokia together have control over 100% of the TD Tech shares. However, the new announcement reads that Huawei and some more operators will take the lead on this matter and engage with research, development, and other related operations.

The list of joint operators includes Huawei, Chengdu Hi-Tech, and Huagai Venture Capital Management who will collectively have their hands on 100% of the equity of TD Tech.

Earlier, Nokia was about to sell its 51% stake to the Chinese New East New Materials company. Although after being opposed by Huawei with the warning of ‘ right to first refusal’, the Finnish tech giant took its steps back and sent the notice of termination to the Chinese chemical firm.

Once again, TD Tech has become a focal point for operators and it would be worth seeing how this new agreement will benefit TD Tech and Huawei with innovative developments.

(Source)