China Mobile (Hong Kong) Ltd , while mulling the purchase of a controlling stake of China Resources Peoples Telephone Co Ltd, may also seek a stake in SmarTone Telecommunications Holdings Ltd, a Hong Kong newspaper reported on Thursday.
The South China Morning Post, citing sources, said the SmarTone talks were at a preliminary stage, adding China Mobile's two-step strategy would be aimed at consolidating the market and making better use of the companies network infrastructure.
The sources said the move might be a roundabout way of getting a third generation (3G) licence, which SmarTone holds but China Resources People's Telephone does not.