A mobile handset joint venture between China's largest whitegoods manufacturer, Qingdao Haier Group, and CCT Telecom to list in Hong Kong has been approved, according to executives at both companies. Hong Kong Exchanges and Clearing has yet to announce the joint venture's backdoor listing via CCT Multimedia Holdings, which was proposed in July. However, CCT chairman Clement Mak Siu-tong said the final hurdle would be cleared by the end of this year. Three executives from Haier were in Hong Kong yesterday to address investor concerns that the proposed transaction may be delayed by Hong Kong authorities and jeopardise its success. Haier director Cui Shaohua said the company had negotiated with various mainland authorities and had secured the necessary approval. 'Considering the rules and regulations of the Chinese Government, our application procedure has already been very fast,' Mr Cui said. An executive at CCT said Haier's application had gone through at least five government organisations, including the China Securities Regulatory Commission (CSRC) and various provincial and municipal entities. He said the CSRC had taken a long time to assess the suitability of Haier, a privately owned enterprise, to own an overseas-listed company. The proposed deal involves CCT Telecom injecting its mobile-phone manufacturing and distribution business into its subsidiary, CCT Multimedia Holdings. The injected asset is a joint venture between CCT Telecom and Haier, which is China's leading consumer goods manufacturer. The joint venture includes a Hong Kong-based distribution business and a mainland manufacturing business. The asset injection would be in two stages. In the first stage, Haier would inject its stake in the Hong Kong distribution joint venture into CCT Multimedia in exchange for a 26.3 per cent stake in the company, which would then be renamed Haier-CCT Holdings. In the second stage, Haier would inject its stake in the mainland manufacturing joint venture into CCT Multimedia, raising its stake to about 42 per cent. Shares of CCT, the original owner of CCT Multimedia, would be diluted to about 38 per cent. The joint venture was set up in February this year. Haier-CCT is one of 11 local-foreign joint ventures given approval. It manufactures mobile handsets in China. The country has surpassed the United States to become the largest user of mobiles in the world this year in terms of subscribers. Yesterday, it announced it would distribute cordless phones under the Haier brand in China.