BEIJING, June 7 — Zhejiang Geely Holding Group and Tencent Holdings Ltd <0700.HK> have won a bid to acquire a 49-per cent stake in a subsidiary of state-owned China Railway Corp, Geely said today.
The aim of the deal is to create a three-way joint venture that hopes to provide a one-stop platform for WiFi access to train users, the company added in a statement.
Geely [GEELY.UL] officials would not describe the value of the joint bid with Tencent for the stake in High Speed Network Technology Co, but according to a filing on the China Beijing Equity Exchange the winning bid submitted for the stake was 4.3 billion yuan (US$672.52 million, RM2.67 million).
“Geely sees itself transforming away from pure manufacturing and into intelligent manufacturing and smart services with the development of a fully developed ecosystem,” said a Geely spokesman, when asked about the investment. — Reuters
