Yangzijiang Shipbuilding’s wholly-owned subsidiary Jiangsu Yangzijiang Shipbuilding Co has entered into a limited partnership agreement with Jiangsu Yingcheng Asset Management, Jiangsu Province Government Investment Fund, Jiangyin Lingang Venture Capital, Jiangsu New Yangtze Industrial Group and Nantong HengLu Taifu Investment Center on Jan 26.
The agreement will see Jiangsu Yangzijiang Shipbuilding subscribing for a 20% equity stake in the capital of Jiangsu Jiequan Emerging Industry Development Fund Limited Partnership (Jiequan Emerging Industry) for a consideration of RMB200 million ($40.9 million).
Following the subscription, Jiangsu Yangzijiang will become a limited partner of Jiequan Emerging Industry.
SEE: Encouraging outlook for Yangzijiang Shipbuilding ocean freight spot rates continue uptrend
Jiequan Emerging Industry is a venture capital investment fund that is incorporated in China’s Jiangyin City. It aims to invest in fintech companies, as well as the merging and acquisition of listed companies, software and information technology services, smart manufacturing, new materials, cultural education, internet and innovative consumption industries.
The company will be managed by Yingcheng as the sole general partner, who is a licensed fund manager in China.
The operational term of Jiequan Emerging Industry shall be eight years and total issued and paid-up capital will be RMB1 billion.
Shares in Yangzijiang closed flat at $1.03 on Jan 26.
