The State-owned Assets Supervision and Administration Commission of Shanghai Pudong New Area has recently sealed an agreement with Shanghai Jiao Tong University Industrial Investment Management (Group) Co., Ltd. (SJTU Industrial Investment) to invest RMB300M in Shanghai High Definition Digital Technology Industrial Corporation (HDIC), an international core terrestrial digital TV enterprise.
This move was supported by local government and marked the beginning of HDIC restructuring.
Shanghai Jiao Tong University has engaged in the R&D of digital TV for 15 years, and established HDIC, one of the two core enterprises of Chinese Digital Television Terrestrial Broadcasting Standard, in 2003. As the sole State-owned digital TV enterprise, HDIC has received full support in Shanghai Pudong New Area and has easy access to restructuring and capital injection.
In accordance with the agreement, the State-owned Assets Supervision and Administration Commission of Shanghai Pudong New Area will ask Shanghai Light Industry Equipment (Group) Co., Ltd., one of its subordinate companies, and another two enterprises to inject RMB300M in HDIC which is directly held by SJTU Industrial Investment.
The fund will be used to restructure HDIC in a bid to establish a national-level digital TV industrial base.
(Translated by Lisa Zhang)
