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Gehua's Joint Venture To Expand Broadband Value-Added Services
October 22, 2007 |
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Beijing Gehua CATV Network Company says that it will set up a joint venture company with Liberty Global and PRC Venture Partners LLC to jointly expand broadband data value-added services.
According to a framework agreement signed among the parties, the initial investment for the new company will be no less than CNY200 million, with Gehua taking 51% of the stake and Liberty Global and PRC Venture Partners the remaining 49%.
The new company will provide high-speed broadband data service to common residents as well as business clients via Gehau's cable network. Gehua says it will provide network support, IDC services and client services for the new company and gain part of its income in return. Gehua and the joint venture company will jointly develop video frequency and data service which is expected to help the company reduce operational costs.
According to media reports, Gehua hopes that cooperation will accelerate the company's high-speed data broadband service and cable television network value-added services and bring new profit-making points for the company.
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