Datang Telecom Gains on Mobile Payment Agreement With UnionPay
Datang Telecom Technology Co. gained the most in more than a month in Shanghai trading after signing an agreement with China UnionPay Data Co. to jointly develop mobile-phone payment services.
The stock rose 5 percent to 14.02 yuan as of the 11:30 a.m. local time trading break, poised for the biggest one-day gain since May 13. China’s benchmark Shanghai Composite Index increased 0.2 percent.
Datang Telecom, a maker of telecommunications equipment, and UnionPay agreed to set up a research lab, create technical standards and expand channels for developing mobile-phone payment services, according to the official Xinhua News Agency. UnionPay operates China’s largest electronic payment network.
”Mobile payment systems have been very popular,” said Su Xiaofang, an analyst with Southwest Securities Co. ”The agreement is good news for Datang.”