New Chinese mobile phone giant fails to get out of the blocks

Millicom, the Luxembourg based mobile phone company with ventures throughout Africa, Asia and Latin America, ended talks with China Mobile Communications of Beijing just hours before Millicom executives were due to fly to the Chinese capital to announce a $5.3 billion acquisition of their company.

The planned acquisition by China Mobile, had it been completed, would have been the largest foreign purchase by any Chinese firm.

Apparently the Chinese decided that their intial offer was a little generous once they looked under the bonnet (technical term for 'due dilligence'). Plus, it seems that China's bureacracy proved about as helpful in getting a deal done as a blindman behind the wheels of a Formula 1 Ferrari.

Lastly the Chinese decided that the sprawling collection of international mobile assets owned by Millicom might prove a bit of a headache to manage - which does not say a great deal about their confidence in Millicom management who were doe to stay on!

So, a new giant and international Chinese tech company to rival Lenovo looks set not to be unleashed - or at least not for now.