Joint Venture Partner
for Internet Service in China
SAN DIEGO, Calif., April 22 /PRNewswire/ -- Global Telephone Communication Inc. (Nasdaq: GTCI; OTC) announced today that it has entered into a definitive agreement for the acquisition of a majority joint venture interest in China Global Information Internet Co. Ltd. from Regent Luck Holdings Limited. China Global is a joint venture with Shenzhen Newsnet Co. Ltd., a wholly owned subsidiary of China Telecom, China's largest telecommunications company.
China Global is operating under a license granted to Shenzhen Newsnet Co. by China Telecom as an Internet Service Provider to provide basic and advanced Internet services, Global said. This includes data and voice traffic over the Internet using Internet protocol technologies, Global noted.
"China Global will initially operate in the city of Shenzhen, China with a population of approximately 5,000,000 residents. The present fiber optic network in Shenzhen is the most technologically advanced transmission system available in the world today. It is important to note that the license allows China Global to sell Internet related products and services as both reseller and agent," said Terry Wong, Global Telephone President.
Pursuant to a Share Exchange Agreement, the company will exchange 5,000,000 new shares of common stock for a majority interest in China Global. The transaction is subject to satisfactory completion of due diligence and shareholder approval by both companies. |
