China Mobile is near to finalizing a 20% stake purchase in Shanghai Pudong Development Bank (SPD Bank) worth US$5.85 billion, the South China Morning Post reported. China Mobile chairman Wang Jianzhou confirmed earlier media reports of the acquisition and potential strategic cooperation with SPD Bank, and said the deal is nearing completion. The stake purchase and cooperation agreement with SPD Bank would allow China Mobile to develop its mobile payment system. "We will combine our efforts to develop an online payment service that would be like having an Octopus card-like system in a mobile phone," Wang said, referring to Hong Kong’s swipe card system used for public transport and electronic payments in select retail environments. He said China Mobile needed a dedicated partner in banking to help roll out its mobile payment business.
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