BEIJING, March 22, 2011 (GLOBE NEWSWIRE) -- AutoNavi Holdings Limited ("AutoNavi" or the "Company") (Nasdaq:AMAP), a leading provider of digital map content and navigation and location-based solutions (LBS) in China, today announced it has entered into an agreement to fully acquire PDAger Mobility Inc. ("PDAger"), a location-based service provider in China and major partner in China Telecom's mobile navigation business. Under the terms of the agreement, AutoNavi, which had previously made a strategic investment resulting in a 20% ownership stake in PDAger, will acquire the remaining 80% stake from other PDAger shareholders for a total cash consideration of approximately US$8.3 million.
PDAger was founded in 2001 and was one of the first companies to offer mobile navigation applications in China. PDAger has cooperated with China's leading smart phone makers to pre-install "NaviTo," a personal navigation application, across various popular handsets. Beginning in July 2010, PDAger partnered with China Telecom to develop and operate "E Navi," a 3G mobile navigation application of "E Surfing," an industry leading 3G services brand offered by China Telecom. "E Navi" provides smart phone users with mapping, local search, routing, turn-by-turn voice-guided navigation, GPS services, real-time traffic information and access to in-depth points of interest across China.
AutoNavi's chief executive officer, Mr. Congwu Cheng, commented, "PDAger's partnership with China Telecom demonstrates PDAger's trusted research, development and marketing capabilities. By fully integrating PDAger into our Location-based Solutions business, we will capitalize on PDAger's mobile navigation solutions and relationship with China Telecom to further enhance AutoNavi's leading position in China's LBS market."Mr. Cheng added, "China has the largest number of mobile subscribers in the world, and China Telecom, with its high-speed and stable CDMA network, is one of the fastest growing of the three Chinese telecom carriers. According to China Telecom's annual results announcement on March 22, 2011, the company had 12.3 million 3G mobile subscribers in 2010, an increase of 202% over its 3G subscriber base in 2009, representing 13.6% of its total mobile subscribers. By leveraging PDAger's high-quality products and partnering capabilities, AutoNavi will have a new gateway to a growing user base that is bolstered by China Telecom's strong growth and the expansion of 3G mobile internet usage in China."
Select the service that is right for you!COMPARE ALL SERVICES
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
- Weekly roundups
Access the tool that DOMINATES the Russell 2000 and the S&P 500.
- Buy, hold, or sell recommendations for over 4,300 stocks
- Unlimited research reports on your favorite stocks
- A custom stock screener
- Upgrade/downgrade alerts
- Diversified model portfolio of dividend stocks
- Alerts when market news affect the portfolio
- Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
- Real Money + Doug Kass + 15 more Wall Street Pros
- Intraday commentary & news
- Ultra-actionable trading ideas
- 100+ monthly options trading ideas
- Actionable options commentary & news
- Real-time trading community
- Options TV