UCLOUDLINK GROUP INC. (“UCLOUDLINK” or the “Company”), the world’s first and leading mobile data traffic sharing marketplace, announced today that the Company completed the acquisition of a 10% stake in Beijing Huaxiang Lianxin Technology Co., Ltd. (“Huaxiang Lianxin”) after this investment in a series of transactions pursuant to the share purchase agreement (the “SPA”) signed on February 28, 2019 between UCLOUDLINK, and shareholders of Huaxiang Lianxin including Tianjin Dongye Technology Co., Ltd. (Tianjin Dongye) and Shanghai Wenhou Investment Management Co., Ltd. (Shanghai Wenhou).
Established in 2013, Huaxiang Lianxin is a mobile virtual network operator (“MVNO”) that has mobile resale contracts with both China Mobile and China Unicom. In addition, it has a virtual operator license compliant with guidance and regulations issued by the Ministry of Industry and Information Technology of the People’s Republic of China. With its own research & development and operations team, Huaxiang Lianxin has developed an advanced proprietary support system for its mobile data resale business.
“The strategic investment in Huaxiang Lianxin is an important component of our global investment.” said Chaohui Chen, Director and CEO of UCLOUDLINK. “This strategic investment will help us further develop our local business in mainland China faster and better, aiming to provide services to both users and carriers with better network quality and connection, enabling not just “connected” but “superior connection” and elevate users’ experience. We will continue to build our global ecosystem with the alliance of our business partners to provide PaaS and SaaS services to form a complete value cycle at serving our business partners’ needs.”