CITIC Telecom CPC Completes Linx Telecommunications Acquisition

Broad infrastructure assets enhance capability
to help customers capture opportunities in Central Asia, Central and Eastern
Europe, and “One Belt, One Road.”

HONG KONG, Feb 2, 2017 – (ACN Newswire) – CITIC Telecom
International CPC Limited (“CITIC Telecom CPC”), a wholly-owned
subsidiary of CITIC Telecom International Holdings Limited (“CITIC
Telecom”) (SEHK: 1883) announced it has finalized the acquisition of the
telecommunication business of Linx Telecommunications B.V. (Linx
Telecommunications), following completion of all regulatory clearances.

The acquisition further extends CITIC Telecom
CPC’s global infrastructure and points of presence to the Central Asia, Central
and Eastern Europe markets, including regions encompassed by China’s “One
Belt, One Road” economic cooperation initiative.

Mr. Xin Yue Jiang, Chairman of CITIC Telecom
International Holdings Limited said: “One Belt One Road is an important
part of our growth strategy. We believe Linx’s acquisition is fully
complementing CITIC Telecom’s development strategy of ‘keeping Mainland China
as the foundation of our business, with Hong Kong and Macau serving as both
base and springboard to accelerate our business expansion internationally and
global network coverage’. The acquisition will help the Group become a leading
ICT service provider to multinational companies and carriers beyond Asia
Pacific.”

Dr. Tiger Lin, Executive Director and CEO of
CITIC Telecom International Holdings Limited said, “Linx’s acquisition is
part of the Group’s ongoing strategies. This is a quantum step to foster the
Group’s strategic transformation towards mobility and the Internet. It has a
clear synergy with the Group’s current business in terms of geographical
coverage, customer base and service offerings, allowing our customers to enjoy
ubiquitous ICT solutions globally. We will continue to look for these
opportunities to drive long-term growth through expansion of core competence
and geographical reach.”

Eyes acquisitions for global expansion

The acquisition includes Linx’s 470 kilometer
submarine fiber network in the Baltic Sea, and its network operations centers
(NOCs) in Moscow and Tallinn, Estonia. The acquisition also includes Linx’s
data center in Tallinn, which serves as Estonia’s largest Internet Exchange
(TLL-IX). These all cover high-growth potential markets including Russia,
Eastern Europe, Central Asia, as well as Kazakhstan and others “Stan”
region. Linx Telecommunications team members have also joined CITIC Telecom CPC
as part of the acquisition, contributing their technical and Russian language
proficiencies with local expertise toward expanding business in the regions.

Mr. Stephen Ho, CEO of CITIC Telecom CPC said:
“Completion of the acquisition of Linx’s assets represents a significant
milestone along the company’s path to extending our network coverage through
Central Asia and into Europe. The addition of Linx’s professional talents,
infrastructure, technology and expertise will position CITIC Telecom CPC as a
leading ICT service provider to multinational and large companies worldwide. It
continues our global footprint expansion, and enhances our full spectrum of
managed networking services, cloud computing and other managed value-added data
services to businesses around the world.”

CITIC Telecom CPC has worldwide network coverage
in over 120 countries with more than 100 Points of Presence (POPs), covering
the mainland China, Hong Kong, Taiwan, Japan, Vietnam, Singapore, Malaysia,
Indonesia, Thailand, Sydney in Australia, London and Frankfurt in Europe, as
well as Los Angeles and New York in the USA. Synergistically leverage the Linx
acquisition, CITIC Telecom CPC can now better serve its customers in further 14
countries with 24 more POPs across Western Europe, Central and Eastern Europe,
as well as Central Asia. This fundamentally boosts CITIC Telecom CPC’s access
to, and capability to realize, the promise of helping enterprise customers to
capture opportunities arising from all these regions, including areas of the
“One Belt, One Road” initiative.

Added Mr. Ho: “With the addition of Linx to
CITIC Telecom CPC’s portfolio we look forward to serving our customers with
greater capabilities and higher synergies, all beneficial to both their
business needs and potential expansion plans. In the coming months, we will
provide further updates regarding our leverage of the Linx assets, and offer
more specific details about how they fit into CITIC Telecom CPC’s direction and
business strategies.”

CITIC Telecom CPC is especially enthusiastic
about the opportunity to expand its services coverage to countries along the
new “Silk Road Economic Belt”, particularly those in the Baltic
region, which will help enhance the company’s status as a preferred partner by
global and regional enterprise customers requiring seamless, high performance
and secure network solutions to connect among their points of presence in
Greater China, Asia Pacific, and other parts of the world. 

About CITIC Telecom CPC

CITIC Telecom International CPC Limited
(“CITIC Telecom CPC”), a wholly owned subsidiary of CITIC Telecom
International Holdings Limited (SEHK: 1883), is a trusted Information and
Communication Technology (ICT) solutions provider with multiple branches across
Asia Pacific, and a preferred partner by multinational corporations and
business enterprises. 

CITIC Telecom CPC delivers a range of innovative
services, including: TrueCONNECT(TM) – an advanced MLPS VPN service which
employs state-of-the-art fully meshed network, TrustCSI(TM) – an integrated
suite of information security solutions, DataHouse(TM) – converged cloud
solution and global unified management data center solutions, and
SmartCLOUD(TM) – smarter, better and high performance cloud computing solutions
which complement the company’s managed network, managed security, and managed
cloud data center solutions. 

As further testament to its commitment in
providing premium quality services in the Asia Pacific region, the company became
the first VPN service provider in Hong Kong to achieve all four ICT related
certifications in ISO 9001 – Quality Management System, ISO 27001 – Information
Security Management System, ISO 20000 – Information Technology Service
Management System, and ISO 14001 – Environmental Management System. Learn more
atwww.citictel-cpc.com.