Deals
China Mobile Makes Its First Overseas Buy
The world's biggest mobile phone operator is acquiring 89% of Pakistan's Paktel, the beginning of an emerging market foray
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China Mobile (CHL), already the world's largest mobile phone company, with more than 300 million subscribers across the mainland, is making its first overseas acquisition by buying a majority stake in Paktel. The Pakistani company is owned by Luxembourg-based Millicom International Cellular (MICCF).
China Mobile will purchase 89% of Paktel for $284 million, gaining a beachhead in the still small, but fast-growing, Pakistani mobile market. Pakistan now has 46 million mobile users compared with 444 million today in China. The move is seen as an opportunity to use the expertise China Mobile has developed in serving the world's largest mobile market in this new emerging market.