China telecoms operators pool $36bn in assets China’s three main telecommunications operators will transfer Rmb231bn ($36bn) in network assets to a…

China telecoms operators pool $36bn in assets China’s three main telecommunications operators will transfer Rmb231bn ($36bn) in network assets to a jointly owned holding company in a move to improve efficiency by pooling resources

State-owned China Mobile, the world’s largest wireless company by subscribers, will own 38 per cent of China Tower Corp, while China Unicom and China Telecom will each own about 28 per cent, the three carriers said in filings late on Wednesday

The remaining 6 per cent will be held by China Reform Holdings, a state-owned company created in 2010 to promote restructuring of state groups

China Tower Corp, created in July 2014, will acquire the assets with a mixture of cash and new stock issuance

The move is part of a broader plan to increase efficiency at sprawling state-owned groups, which dominate backbone sectors of the Chinese economy including finance, energy, telecommunications and heavy industry

The pooling of assets will enable the three mobile carriers to achieve economies of scale, boost efficiency and cut costs, the official Xinhua news agency said. China Tower Group will operate existing network assets as well as invest in upgrading and expansion of mobile networks, including the ongoing rollout of 4G wireless internet service

China Reform’s equity investment in China Tower will be used to help fund the construction of a network of electric car charging stations. Authorities wants to make the country a leader in new electric-car technology and consider charging stations essential to this goal