Posted by: Bruce Einhorn on May 9, 2008
Lots of speculation flying around that Huawei is looking to sell a stake in its handset, router and data-card businesses to a foreign investor. The Journal first reported this on Thursday, without naming the source for the information. When it comes to acquistions, Huawei of course recently had a big setback, with the collapse of its proposed purchase with Bain Capital of 3Com. But it’s also worth remembering that there have been lots of rumors over the years about Huawei, which is privately held, going public. Investment bankers in Hong Kong have been focusing on building relationships with the company’s execs, since Huawei is the big prize still to IPO among China’s top-tier companies. But nothing has ever come of the rumors. By going for a strategic investor rather than an IPO, maybe Huawei will find more luck this time.