Telecoms giants' venture set for private-sector investment

The infrastructure-sharing joint venture that was recently formed by the mainland's three telecommunications network operators will be put on track for private investment and a future public listing, according to the industry regulator.

"A mixed ownership development is the way forward for the newly established tower company," Zhang Feng, a spokesman for the Ministry of Industry and Information Technology, said at a press conference in Beijing on Thursday.

China Mobile, China Unicom and China Telecom established earlier this month China Communications Facilities Services Corp, which will be responsible for building, maintaining and operating telecommunications towers and ancillary facilities, such as mobile base-station control rooms.

Xiang Ligang, a founder of information technology and telecommunications portal CCTime, said: "Many big enterprises, including cash-rich internet companies like Alibaba, would be very interested in investing in this joint venture".

Beijing has stepped up efforts to implement long-awaited telecommunications reforms this year. Dozens of private companies, for example, have been allowed to provide domestic mobile services under a so-called mobile virtual network operator licence.

Zhang said the joint venture "will be open to private capital in future", considering that its registered capital of 10 billion yuan (HK$12.5 billion) was "not big enough".