(Yicai Global) Oct. 23 -- Zhong Fu Tong Co. [SHE:300560] will acquire a communication technology services company for USD31.6 million (CNY210 million) in cash and expand into the economically-developed market of Guangdong province.

The Fujian-based firm said that it signed an agreement with the three shareholders of Guangzhou Oukang Communication Technology Co. yesterday to acquire 100 percent of the target.

Guangdong has the biggest communication technology services market in China and boasts the most cutting-edge technologies. The company said it will expand into Guangdong's communication technology service market after the acquisition is completed, and this will help the group follow communication technology market developments and improve its customer service capability.

Zhong Fu Tong said that this acquisition is in line with its strategic role as an integrated communication technology service provider as well as its market strategies for 5G technologies and will enhance its overall strength in the communication technology service industry, its market share and its industrial leverage.