Integrated cloud-based platform company
China Information Technology, Inc. (CNIT) has completed its acquisition of cloud platform provider Shenzhen Biznest Internet Software Co. Ltd., otherwise known as Biznest. The company, which also caters to China's "new media" industry with exchange and big data solutions, offers an Internet ecosystem that "enables all participants of the new media community to efficiently promote brands, disseminate knowledge, and exchange resources". The deal cost in the region $15 million, with around $7.5 million in cash matched with ordinary shares equaling the balance of the cost, which has now been fully paid.
Biznest was established in 2010 and has headquarters in Shenzhen, China. The company focuses on providing cloud computing infrastructure solutions such as virtual machines and cloud servers, cloud storage, and cloud networks. CNIT had previously worked with Biznest on a cloud-based media platform that delivered "targeted ads and public information at high-traffic urban locations". Alongside China, Biznest has servers in South America, Europe and South East Asia.
"(The) acquisition of Biznest is an important step of our strategic transition to become a leader of cloud-based solutions in China," explained CNIT's CEO and Chairman, Jiang Huai Lin. "We believe that implementation of Biznest's powerful cloud infrastructure has achieved efficient management of online computing resources and automatic application deployment, allowing us to create better cloud-based software solutions for our diverse customers. The timely completion of the acquisition demonstrates that our new media business continues to gain traction and that our financials are showing early signs of turn-around. We look forward to leveraging on our strengthened Cloud-Application-Terminal (CAT) eco-system to win a series of new contracts and to monetize in the large addressable market."
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