NQ Mobile plans to enter a deal with Tsinghua Holdings Co. (Photo : China Daily)
In a $626 million worth of deal, NQ Mobile Inc. is planning to sell FL Mobile Jiutian Technology Co., its online game publishing unit, to Tsinghua Holdings Co.'s Beijing Jinxing Ronda Investment Co. Ltd.
The company said, however, that the sale price will be determined by an independent valuer.
Prior to the move, NQ Mobile has negotiated a sale of the game publishing unit to Tack Fori International Group Ltd. for around $570 to $630 million.
Asked about the planned agreement with Tsinghua, NQ Mobile said that it continues "to explore other strategic opportunities and alternatives to cooperate."
Earlier, Tsinghua, regarded as the largest chip design firm in the country, offered $23 billion to acquire U.S. memory chipmaker Micron Technology. This could be the largest Chinese takeover to a U.S.-based company, the Wall Street Journal wrote.
Tsinghua Holdings, which is headquartered in Beijing, is Tsinghua University's premier research and investment arm. Through the school's alumni network, the unit has close ties with different senior officials.
In 2010, NQ Mobile first bought equity interest of 33 percent to what was then named as Beijing Feiliu Jiutian Technology Co. It assumed full ownership in 2012.
According to regulatory filings, the online game publishing unit has racked up the firm's mobile gaming revenue. Recently, NQ Mobile posted a 25-percent rise in revenue, pulling off $102.1 million.
As of June 30, its average monthly active user accounts reached 188.2 million. Meanwhile, though its American Depositary Shares dropped by about 23 percent, it rebounded later by 54 percent to $4.65.
