(Yicai Global) July 3 -- Chongqing Xinwei Communications Technology Co. will sell telecom equipment to a Uganda-based firm in a deal worth USD84 million.

Chongqing Xinwei signed an equipment sales contract with WiAfrica Uganda Ltd. via a subsidiary on June 29, Beijing Xinwei Technology Group Co. [SHA:600485], which controls Chongqing Xinwei, said June 30.

WiAfrica Uganda has a license to build and operate 4G communication networks across Uganda, the announcement said. Construction on phase one of the networks and preparations for commercial trial operation are currently underway. WiAfrica Uganda purchased telecom equipment worth USD358.6 million from Chongqing Xinwei last year.

Successful execution of the contract will positively impact Beijing Xinwei's earnings this year, per the announcement.