TWO mobile technology companies are going to set up headquarters in Shenzhen after winning the bid for two land parcels in the Liuxiandong area in Nanshan District, the Southern Metropolis Daily reported Monday.

TRANSSION, a Shenzhen-based company that specializes in developing mobile communication products, is dubbed “King in Africa” for its thriving mobile phone business in Africa. It won the bid to use a 4,998-square-meter piece of land in Liuxiandong for 30 years with the lowest price of 273 million yuan (US$40.62 million) April 25.

Construction of TRANSSION’s headquarters on the land started recently. The construction work is expected to be completed in 2020 and the headquarters, which could accommodate 4,000 to 5,000 employees, will be put into use in 2021.

Another Shenzhen-based mobile phone producer, Tinno, won the bid to use a 5,617-square-meter piece of land in the same area for 30 years with the lowest price of 285 million yuan.

According to a previous media report, the government required that bidders for these two land parcels be State-level or local high-tech companies in Shenzhen. Both TRANSSION and Tinno were the only bidders in the two separate auctions, which enabled them to win with the lowest prices.

Lin Zhendong, vice president of Tinno, said the company has contributed to the economic growth of Nanshan District for many years.

According to him, nearly 2,000 employees of the company are working in a rented office building in Nanshan, but they might lose their offices if the landlord terminates the lease contract, which is why the company wants to build its own headquarters.

“Our company has been settled in Nanshan District for so many years. Many of our employees have bought apartments in the district with their kids going to school here, so they might not want to move even if we build headquarters in another city,” he said.

Sun Yanbiao, head of n1mobile.cn, said that both TRANSSION and Tinno have probably obtained support from the government to set up their headquarters in Shenzhen so that they could really have a “home” in Shenzhen, which is good for their future development.

Guo Wanda, deputy head of the China Development Institute, said Shenzhen is helping local companies set up their headquarters in the city as well as encouraging nonlocal companies to relocate their headquarters to Shenzhen, but he believes it’s more important for the government to offer support to local companies as a way to drive the city’s long-term development.

(Zhang Yang)