Chinese telecommunications equipment provider Datang Telecom reportedly plans to acquire around 20% stake in SMIC (Semiconductor Manufacturing International Corporation), a leading Chinese semiconductor chip maker, according to a Shanghai Daily report dated July 23. It is estimated that the deal will be worth more than two billion RMB (US$293.0 million; US$1=6.8 RMB). Both companies, however, declined to comment on the report.

According to the Shanghai Daily report, SMIC previously revealed the intention to sell a stake to a strategic investor within six months. The name of the investor has not yet been announced, though.