BEIJING, HONG KONG, and NEW YORK, Jan. 12, 2012 /PRNewswire-Asia/ -- China's leading comprehensive information service provider, ChinaSoft International (hereinafter referred to as "ChinaSoft International" or "Group") (stock code: HKSE.354), signed a contract with Huawei Technologies Limited (hereinafter referred to as "Huawei"), a leading global information and communications technology (ICT) solutions provider, to establish a joint venture company specializing in the software outsourcing business. The contract stipulates that ChinaSoft International will hold 60% of the joint venture and will have three seats on the board, and that Huawei will hold 40% and will have two seats on the board.
ChinaSoft International's success as an IT outsourcing provider can be attributed to its experience, its efficient human resource supply system, and its outstanding management, development and services team. Huawei is an important client of ChinaSoft International's outsourcing business, and it has experienced firsthand the high quality and cost-effectiveness of ChinaSoft International's delivery and outsourcing services. Likewise, ChinaSoft International is wholly familiar with Huawei's high quality management practices. By combining the qualities of both companies into this new joint venture, the vast experience of both companies can contribute to the creation of this new, top-ranking software outsourcing company.
The two companies have agreed that the key decision-making body and management team of the joint venture will be comprised of senior managers from each company. Dr. Chen Yuhong, Chairman and CEO of ChinaSoft International, will be the Chairman of the Board of the new company, and Mr. Ding Yun, Senior Vice President of Huawei, will be a board member. Both companies believe that the new joint venture aims to be a top-ranking software outsourcing company in the industry by fully merging many years' successful experience in outsourcing business of ChinaSoft International, and the mature quality and delivery management and HR management practice of Huawei Group.
ChinaSoft International has maintained rapid growth on the strength of its end-to-end IT services capability, which includes consulting, solutions, outsourcing, as well as talent training. Through a series of restructuring and resources integration that took place during the second half of 2011, it established three main business units: Professional Service Group, Outsourcing Service Group, and Emerging Service Group. This new joint venture will be a key part of ChinaSoft International's outsourcing business unit, and it will enable the Group to further strengthen its business relationship with Huawei, enhance its service quality and delivery capabilities, and expand the current scope and scale of Huawei's outsourcing business. Furthermore, ChinaSoft International will become Huawei's core supplier.
Dr. Chen Yuhong, Chairman and CEO of ChinaSoft International, said that the Group is now in its crucial development stage. "We are expecting to reach our strategic goal of 10 billion RMB in 2015 through restructuring. The joint venture with Huawei is another strategic partnership with a world-leading company following our partnerships with Hony Capital (Legend Group) and Microsoft. These partnerships will enable us to boost our competitiveness."
Mr. Ding Yun, Senior Vice President of Huawei, said, "For Huawei, this is not simply a financial investment. We will contribute management and key technology staff to the joint venture so that we can provide it with optimal support by sharing our best practices regarding the management of quality, R&D, as well as human resources."
Given the rapid development of the IT industry as well as the overall economy in China, the emergence of a China-based IT service provider that is globally competitive has been seen by many within the industry as inevitable. This strategic partnership between ChinaSoft International and Huawei lays the foundation for this to occur.
About ChinaSoft International Limited, "CSI" (354.HK)
Founded in 2000, ChinaSoft International Limited is a listed company in Hong Kong Exchange with its code of 354.HK. It is a large Chinese comprehensive software and information services provider, ranging from end to end services of consulting, solution, outsourcing and talent training. It serves clients including government, manufacturing, finance, telecommunication, high-tech, transportation as well as energy. It provides global services to over 100 multinational companies with 15,000 employees located worldwide based in 25 cities including mainland China, Hong Kong, Princeton, Seattle, London, Tokyo and etc. For more information, please visit http://www.chinasofti.com
About Huawei
Huawei is a leading global information and communications technology (ICT) solutions provider. Through our dedication to customer-centric innovation and strong partnerships, we have established end-to-end advantages in telecom networks, devices and cloud computing. We are committed to creating maximum value for telecom operators, enterprises and consumers by providing competitive solutions and services. Our products and solutions have been deployed in over 140 countries, serving more than one third of the world's population.
For more information, visit Huawei online: www.huawei.com.
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