On November 11, 2009, China Cablecom Holdings Ltd., the BVI-registered company operating cable networks and providing cable television services in the People’s Republic of China (PRC), announced a series of broadband development agreements between 7 of its joint venture subsidiaries and Hubei Unicom. The agreements with local subsidiary of China Unicom provide for BVI company’s broadband development network in the Hubei province.
China Cablecom is originally operating in highly populated Shandong province of PRC, but in 2009 the company acquired 55% interest in a cable network in Hubei province. The concluded agreements follow the strategic alliance framework agreement between Hubei Unicom and Hubei General Radio & Television Stations, the major shareholder of the Hubei SOE, which was signed in early October. Pursuant to the agreement, both companies will participate in developing broadband capabilities. The agreement provides for unlimited access to broadband bandwidth, the enhancement of network reliability, strong customer service platform and scalability of connection services within the Hubei regions.