New World Development

NWM shareholders approve merger

PUBLISHED : Saturday, 25 March, 2006, 12:00am
UPDATED : Saturday, 25 March, 2006, 12:00am

New World Mobile (NWM) shareholders yesterday approved the merger of the company's 2G mobile business with CSL, to create Telstra CSL.

NWM, which is paying $244.02 million in cash for a 23.6 per cent stake in Telstra CSL, will remain as a listed company with its mobile internet business.

Chief executive Norman Wai Fung-man (above) said NWM would have fewer than 100 employees left after the merger and an announcement about the company's future direction was likely soon.

Under the deal, NWM minority shareholders will be given a minimum 60 per cent of the operating profit of Telstra CSL as dividend.