(By Balachander) UTStarcom Holdings Corp. (NASDAQ:UTSI) said it has completed the sale of its IPTV business and that William Wong has assumed the role of the broadband equipment company's chief executive.
The Beijing, China-based company had last month disclosed its plan to sell its IPTV equipment business in a move to transition the Company into higher growth, more profitable areas.
The IPTV equipment business has become a privately-held, standalone company, which will be lead by UTStarcom's former CEO Jack Lu.UTStarcom will purchase a US$20 million convertible bond that will be convertible into 33 percent of the new IPTV business's common stock in five years.
Wong has served as Chief Executive Officer of Borqs International, which produces software platforms for mobile operators and chip manufacturers.
The company offers broadband equipments to cable and telecom operators.
The stock, which has been trading in the 52-week range of $0.88 to $1.66, closed at $1.07 on Thursday.