Photo/Shetuwang

June 24 (NBD) -- NEC (China) Co., Ltd. will sell controlling stakes in two wholly-owned subsidiaries to Dalian Hi-Think Computer Technology Corp. ("DHC"). 

Founded in May 1996, DHC primarily engages in computer application software development, system integration, and software outsourcing services. National Business Daily noticed that NEC Corporation holds a 5.46 percent stake in while NEC Soft, Ltd. owns 7.44 percent of DHC. 

According to DHC's announcement made last Thursday, the company plans to acquire a 92 percent stake in both NEC Soft (Jinan) Co., Ltd. ("NES-JN") and NEC Advanced Software Technology (Beijing) Co., Ltd. ("NEC-AS") from NEC (China) for a total of 83.31 million yuan (12 million U.S. dollars) - 50.93 million yuan for the former and 32.38 million yuan for the latter. 

NES-JN and NEC-AS both are responsible for NEC Corporation's software outsourcing business.

When the deal is completed, NEC (China) will only own an 8 percent stake in each of the subsidiaries. Before the transaction, NEC (China) received 160 million yuan in bonuses from the two subsidiaries, shows DHC's announcement. 

For staff of the two subsidiaries, NEC (China) promised to keep current employment relation and terms for one year. Some NEC-AS employees found this unacceptable as they had signed long-term contracts with their companies.

As of press time, NEC (China) hasn't yet made any comment on the asset sale. 

Email: lansuying@nbd.com.cn