China Mobile buys stake in Shanghai bank

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    China Mobile, the PRC telecoms giant, has acquired a 20% stake in Shanghai Pudong Development Bank (SPD Bank) for Rmb39.8 billion (US$5.8 billion). China…

    China Mobile, the PRC telecoms giant, has acquired a 20% stake in Shanghai Pudong Development Bank (SPD Bank) for Rmb39.8 billion (US$5.8 billion). China Mobile will buy 2.21 billion new China-listed shares through its wholly-owned subsidiary, China Mobile Group Guangdong Company.

    The new share sale has a 36-month lock-up period. With this transaction, China Mobile enters into a strategic alliance with SPD Bank to jointly develop mobile e-commerce services. Once the purchase is completed, China Mobile will be SPD Bank's second-largest shareholder after Shanghai International Group.

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