Embattled Zte Proposes 107 Billion Credit Proposal New Board

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HONG KONG – Chinese telecommunications giant ZTE Corp (0763.HK)(000063.SZ) has proposed a $10.7 billion financing plan and nominated eight board members in a drastic management overhaul, as it seeks to rebuild a business crippled by a U.S. supplier ban.

The news, announced late on Wednesday, indicates China’s No.2 telecom equipment maker is working towards meeting the conditions laid out by the United States so it could resume business with American suppliers, who provide about 25-30 percent of the components used in ZTE’s equipment.

Investors cheered the development, driving up ZTE’s Hong Kong-listed shares as much as 3.7 percent on Thursday morning, outperforming the Hang Seng Index .HSI that dipped slightly.




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