Device maker Hon Hai Precision Industry, better known as Foxconn, and Japan’s Softbank are reportedly after Asia Pacific Telecom (APT), a Taiwanese mobile operator.
Foxconn is planning to spend as much as NT$14bn (US$465.4mm) for a 22% stake in APT it…
Device maker Hon Hai Precision Industry, better known as Foxconn, and Japan’s Softbank are reportedly after Asia Pacific Telecom (APT), a Taiwanese mobile operator.
Foxconn is planning to spend as much as NT$14bn (US$465.4mm) for a 22% stake in APT it wants to acquire from state-owned companies, according to the China Post citing local reports.
APT, which has a market cap of NT$53.2bn (US$1.76bn), saw its shares rise 5.3% yesterday to NT$15.95 on rumours of a potential deal.
Foxconn has been linked to several transactions of late. Just a month ago, it was reported that the manufacturer was interested in local cableco China Network Systems (CNS). Foxconn is also said to have held talks with Taiwan Mobile, the country’s third largest mobile operator, regarding a tie-up.
Last October, the vendor spent US$312m in Taiwan’s hotly-contested 4G auction as part of its attempts to diversify its activities and begin providing services.
Foxconn is the main manufacturer of iPads and iPhones, but its revenues from PC and phone manufacturing have been slowing.
Meanwhile, a deal between Softbank and APT would allow the Japanese operator to gain a foothold in Taiwan and access the operator’s recently secured 4G spectrum.
Keen to expand outside of its saturated home market, Softbank has been acquisitive abroad, its biggest purchase being Sprint Nextel in the US.