Mainland property tycoon Wang Zheng announced on Thursday his purchase of Hong Kong's second-leading broadcaster.

The chairman of Rongfeng Holding Group purchased Asia Television for a reported HK$2 billion, bolstering his plans to create a competitor to Television Broadcasts and helping the ailing station step out of financial difficulties.

Wang said he had originally considered buying TVB before he had any interest in ATV but didn't detail why he changed his mind.

Ambitious Wang is eager to mould ailing ATV into an Asian CNN. According to development plans, ATV will focus on news reporting and even consider sending teams to Iran, North Korea and Myanmar for coverage.

The deal is backed by five state-owned companies, which signed strategic cooperation agreements with ATV. They are: China Overseas Group, Guangdong Enterprises, China Merchants Bank, China Life and Bank of Beijing. They will use ATV as an advertising platform to increase their presence in Hong Kong and provide capital if needed.

Wang responded to suspicions that the central government directed his company to take over the station, saying buy was his decision.

Founded in 1957, ATV was the first TV station to broadcast in Hong Kong and the first Chinese broadcaster in the world, reaching more than 100 million viewers in Hong Kong, Macao, Guangdong and North America.

The 47-year-old new boss will assume office at ATV next Monday. He said he has no plans to cut jobs in the station. Instead, he will recruit new staff.

But Wang declined to reveal the amount involved in the deal.

"The future development plan is what the TV station is more concerned about, rather than the money involved," he said.

Wang reportedly bought a 52-percent stake in ATV from controlling shareholder Payson Cha Mou-sing. After the purchase, two of Wang's family members have been on ATV's board of directors.

Sun Wenjie, chairman of China Overseas Group who attended the news conference, said that Wang paid HK$2 billion to buy ATV and that his company will back the funding needed in the deal.

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