China Mobile suspends China Railcom merger

6 Nov 2009

Interfax China reports that China Mobile has suspended its acquisition of fixed line operator China Railcom (also known as China Tietong). China Mobile issued an outline for the Railcom merger, which was to be carried out in three phases, on 9 February this year. The first phase was conducted between February and June, during which China Mobile acquired China Railcom’s service centres and customer base. The acquisition is currently in its second phase, initially projected to last until December, during which China Mobile intended to put China Railcom’s fixed line and broadband services into use. The third and final phase was scheduled to start in January 2010 and last the entire year, with China Railcom’s business and staff to be completely merged with China Mobile operations.