Amoi Electronics Co. Ltd. witnessed its shares closed at CNY 2.01 apiece on the Shanghai Stock Exchange (SSE) on January 8, 2008, keeping a limit up since 10:02.

On January 9, the Chinese mobile telecoms terminal and consumer electronics manufacturer opens at CNY 2.11 with another limit up, indicating a surge in investor optimism, which may have started hiking before 14:30, January 7, when the Ministry of Industry and Information Technology of China issued the 3G licenses to the country's three mobile telecoms operators

The prospect of China's 3G mobile telecoms market stimulated Amoi Electronics to begin the investment in eligible terminals from 2003, when its earnings per share hit CNY 1.429, compared to CNY 1.69 a year earlier.

The seemingly premature jumping-off point was followed by several embarrassing years, including the third quarter of 2004, when it suffered a net loss of CNY 41.637 million. In 2005, 2006 and 2007, the net loss was CNY 658.05 million, CNY 101.741 million and CNY 811.123 million, respectively, citing its financial reports.

About a month ago, it forecasted loss for 2008. On January 6, 2008, it warned investors that it would be forced to delist from the SSE in fifteen days after April 30, if 2008 proved to be a loss year for it, a prediction that it would become farther away from the capital market.

Besides, from August 27 to December 2, 2008, the company received 46 lawsuits, mainly against its payment default, involving a total capital of CNY 29.969 million. And another report said that it has suspended production.

The years saw Amoi Electronics' breakthrough in the R&D of mobile phones applicable to the TD-SCDMA, WCDMA and CDMA2000 networks, which are operated by China Mobile Ltd. (NYSE: CHL and SEHK: 0941), China Unicom (Hong Kong) Ltd. (SEHK: 0762 and NYSE: CHU) and China Telecom Corporation Ltd. (SEHK: 0728 and NYSE: CHA), respectively.

After obtaining the licenses, the three telecoms operators are expected to enhance the construction of their 3G networks, enlarging the cake for terminal manufacturers.

Devoted faithfully to the 3G industry, Amoi Electronics is hopeful to become a pearl in the eyes of big investors like the rumored saviors China Mobile, Huawei Technologies Co., Ltd. and China Electronics Corporation.

In addition, Amoi Electronics won the bid in July 2008 to offer 19,000 TD-SCDMA mobile phones to China Mobile among the orders for 200,000 ones. And the overseas demands for its 3G mobile phones are said to be steady, presently.

Source: hexun