Guangdong-based electronic components and electronic material manufacturer Fenghua Advanced Technology Holding said in a public filing today that it intends to invest RMB 50 mln in cash to co-found the RMB 4 bln Guangdong Broadcast Network Investment Fund, through which it will gain a stake in Guangdong Cable TV Network Co., Ltd. The Broadcast Network Investment Fund plans to acquire some of the new shares issued by Guangdong Cable TV Network at double the valuation of the net assets per share.
Guangdong Cable TV Network currently has 6.8 mln cable subscribers, 4.45 mln of them DTV subscribers. As of the end of April 2011, the company had total assets of RMB 10.39 bln. From January to April of this year, the company saw operating revenues of RMB 849 mln, and net profits of RMB 14.89 mln.