NQ Mobile Inc. (NYSE:NQ), a leading global provider of mobile internet services focusing on security, privacy and productivity, is setting up a Swiss subsidiary through which it will conduct some of its overseas operations, a company source said.

The company will establish a wholly owned subsidiary, NQ Global, in Switzerland and plans to conduct a portion of its overseas operations, including North America, Latin America, Europe, Japan, South Koreaand India, through the new entity, the source told morningwhistle.com.

“We expect to finalize all setup documents and obtain official approval by the end of June,” the source said.

Late Wednesday, the company announced that members of its senior management, including Co-CEOs Henry Lin and Omar Khan, COO Vincent Shi, president Zemin Xu and CFO Suhai Ji, intend to use their personal funds to purchase up to an aggregate of $2 million worth of the company's American Depositary Shares in open market transactions within six months from June 6, 2012.

"We consider the recent drop in NQ Mobile's share price to be unjustified and we believe our stock to be currently undervalued," Henry Lin, chairman and Co-CEO of said in a statement.

"The plan to purchase NQ Mobile shares by the senior management team demonstrates our strong confidence in the company and reflects our commitment to executing our business plan and delivering shareholder value," he added.

One week earlier, the company withdrew its contemplated follow-on offering, a registration statement relating to which was filed with the U.S. Securities and Exchange Commission on May 10. The board said that in light of the recent market conditions it was not in the best interest of the company or shareholders to proceed with the offering.

In May, NQ Mobile acquired 55 percent of Beijing-based mobile services provider NationSky Network Technology Co. Ltd. in a cash and share transaction. The consideration included approximately $3.2 million in cash, $6.8 million in stock and a performance-based earn out of $2.9 million in stock.