(Yicai Global) July 28 -- Chinese optical fiber and cable manufacturer Hengtong Optic-Electric announced it will buy a controlling stake in its partner Voksel Electric, an Indonesian cable supplier, to better serve its local and Southeast Asia customers.

Hengtong Optic-Electric plans to make tender offer at Indonesia Stock Exchange to purchase nearly 1.8 billion shares of Voksel, equal to 43 percent of its total equity, from shareholders through a unit in Hong Kong, the Jiangsu province-based company announced late yesterday.

The announcement did not make an estimation on the value of the deal. However, based on Voksel's closing price of IDR179 (1 US cents) per share yesterday, the deal could be worth as much as IDR320 billion (USD21.2 million).

Hengtong Optic-Electric currently is Voksel's largest shareholder, indirectly owning 30.1 percent of the Jakarta-based firm. Once the deal is completed, Hengtong Optic-Electric will own an over 73 percent stake in Voksel.

Founded in 1971, Voksel is one of Indonesia's largest cable solution providers, Hengtong Optic-Electronic noted. Its businesses cover the manufacturing of power and communication optical cables and engineering, procurement, and construction of power and telecommunications infrastructures.

Hengtong Optic-Electric [SHA: 600487] was trading up 1 percent at CNY15.12 (USD2.11) as of 11.20 a.m. today.

Editor: Futura Costaglione