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Tuesday, April 5, 2011

Huawei sees positives stemming from 3Leaf process

China's Huawei [HWT.UL] believes the regulatory tangles over its acquisition of server technology firm 3Leaf would ultimately improve its relations with U.S. officials, an executive said on Tuesday. Washington had already been concerned about the telecoms network equipment maker for years, due to uncertainty over its relationship with the Chinese government, before it bought 3Leaf for $2 million last May. After completing its review of the acquisition, the Committee on Foreign Investment in the United States suggested that Huawei should voluntarily divest the assets, leading Huawei to back away from the deal. [ID:nN19134618]

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