ZTE launches expansion fund

April 20, 2005 - source: BWCS

ZTE, the huge Chinese telecoms equipment vendor has announced plans to raise a fighting fund of almost US$3.6 billion to help finance foreign expansion. The money will be raised by entering into a series of bank loans and issuing new debt bonds.

ZTE says it will invest in new plants in developing markets and will concentrate on selling its equipment and services into these countries. At the same time it is thought likely that the company will press ahead with its expansion plans into developed markets such as western Europe and the US.

At the recent CeBit show in Hanover, Germany, ZTE caught the eye of many operators with its new range of 3G phones. Until recently the Chinese manufacturer had concentrated on low-end models but this year it has begun to gain ground with its cutting edge phones.