Asian Union to buy sat TV ad company
EmptyHONG KONG -- Advertising and television production shingle Asian Union New Media set expansion plans in motion this week, signaling its bid to buy satellite TV advertising agency Blower Investments for as much as HK$420 million ($54 million).
Asian Union chairman Edward Tian -- former CEO of Chinese telecommunications giant China Netcom -- said that the purchase is only the first part of the company's plans to buy satellite, digital, mobile and Internet TV platforms.
Tian was appointed chairman of Asian Union in January, following the sale of a 23% stake in the company to his investment fund, China Broadband Capital Partners, for $54 million.
As part of the deal, Blowers is expected to acquire two further companies: outdoor media advertising company KAF and Zhong Guan, which will act as the exclusive advertising agent for a major satellite TV channel in China from 2009-11. Zhong Guan will underwrite and then sell all of the airtime for this station, Asian Union said.
Halted on Wednesday, shares of Asian Union resumed trading on the Hong Kong Stock Exchange on Thursday and closed up 3.7% at 0.14, near the lower end of their 52-week range of 0.10-0.30.