Concept provides financing progress for China projects
Concept Wireless Inc CEU
Shares issued 7,663,964 Sep 26 close $0.82
Wed 27 Sept 2000 News Release
Mr. William Jung reports
A Canadian brokerage firm has expressed interest in financing the company's
telecommunications and Internet projects in China. As part of the due
diligence, a representative for the brokerage firm accompanied management
yesterday to China for meetings with the Chinese partners to review the
company's projects.
The current due diligence trip includes meetings in Beijing and visits to
three of Contour's paging operations in the major cities of Jinan, Weifang
and Qingdao in Shandong province.
Paging/two-way wireless messaging/VoIP/ISP services
The company holds an interest in a paging joint venture (Contour) that
operates paging systems in 13 major cities located throughout Shandong
province. It has in excess of 400,000 subscribers and is the second largest
paging network in the province. Earlier this year, Contour reached an
agreement to secure licences to provide two-way wireless messaging,
voice-over Internet protocol (VoIP) and Internet access (ISP) services.
This partnership will allow Contour to expand its paging business to
include two-way wireless messaging and to broaden its revenue base by
diversifying into ISP services and VoIP for long-distance telephone
services by way of the Internet.
The plans are to roll out the first two-way wireless messaging system in
Jinan, capital city of Shandong province prior to the end of this year.
Discussions with two equipment suppliers are entering the final stages and
a decision will be made between California-based GWCom and Ericsson's
Mobitex system. The company expects to launch the ISP and VoIP services
following the deployment of the two-way wireless messaging system.
Internet data centres
The company has signed a memorandum with a major Chinese Internet and
communications company to jointly establish an Internet data centre (IDC)
in Beijing. Sun Microsystems, Inc. will provide its technical expertise and
Internet technology platform for the proposed IDC. In preparation for the
project, Concept and Sun are currently finalizing the costs and rollout
plans for the IDC.
Second Internet data centre project
Michael Ginn, vice-president of Concept, is presently in Hong Kong in
discussions regarding a second IDC project in Guangzhou, the provincial
capital city of Guangdong province. Guangdong province is the most
industrial province in China with an approximate population of 60 million
people and has attracted substantial foreign investments through joint
ventures and wholly foreign financed companies of which 70 per cent has
come from Hong Kong. |
