I had a GREAT meeting with ChinaTel Group ($CHTL.PK) today, and want to share some of the highlights with you right away.
Our No. 1 Takeaway is….
ZTE Corp. (which provides telecom equipment and network solutions on the global scale) is backing ChinaTel for eight MORE countries in Central Europe and Russia. This includes ALL capital and operational expenditures to get the networks deployed and selling subscriptions.
A $50M Deal in the Works
A new deal with The Isaac Organization includes an expanded investment group for another $50 million -- paid quarterly -- and will provide ALL capital needed for Peru, China, the Sino Crossing network, AND eight new network deals in Central Europe.
These new Central Europe deals will be 75% ChinaTel, 25% Spectrum holder …and 100% consolidating revenues.
Meeting Customers Wherever They Are in the World
ChinaTel will be opening retail stores and customer support centers in China and Peru and selling its OWN branded Android tablets and MiFi (mobile) hotspots and home/office routers.
ALL will have SIM cards that allow roaming on ANY 3G network...
The Chinacomm Connection
Finally ... the goal with Chinacomm (a big wireless provider in China) is for ChinaTel to gain effective control of Chinacomm by conversion of $70 million in receivables and CHTL stock.
EACH of the companies, starting with Chinacomm, are intended to take public in local exchanges.
Bottom line, ChinaTel equals the lowest cost to build network, with the lowest cost spectrum, selling 10-times-faster 4G wireless broadband at 200% LOWER monthly cost than competition. And 4G does not even roll out in China till 2014!
Global domination of emerging-market 4G networks ... that is the ChinaTel plan.
Well, from the looks of it from here, it's only the BEGINNING of their plan. And with so much more to come, this is truly looking to be one of those stocks that we would want to kick ourselves for NOT owning!