Taiwan Mobile to buy 15% stake in Ambit

Dylan Bushell-Embling
29 Sep 2014
00:00
News
Daily News

Taiwan Mobile has arranged to buy a 14.9% stake in Foxconn affiliate and new 4G operator Ambit Microsystems.

Taiwan Mobile will pay TW$2.98 billion ($98.2 million) for the stake, and another TW$3.43 million to acquire a 5MHz block of LTE spectrum from the company, the China Post reported.

If approved by regulators, the deal would give Taiwan Mobile 35MHz of LTE spectrum – more than any of its rivals.

Ambit has yet to receive its 4G license, although its rollout plan has been approved. In May Ambit announced plans to buy a 15% stake in Asia Pacific Telecom (APT) with the goal of eventually taking over the business.

But earlier this month, regulator NCC revealed it has yet to see an application from Ambit regarding the planned merger.

In order to merge with APT, Ambit would reportedly need to divest 5MHz of LTE spectrum to comply with the 25MHz cap on spectrum in the 700-MHz and 900-MHz bands. The deal with Taiwan Mobile would fulfil this obligation.

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