Merchants Investment Business
The Group’s corporate equity investment industry is being promoted steadily. This is its important strategic deployment to make an enterprise with diversified businesses, and gradually increase its value purely from industrial management profit to capital appreciation through equity investment.
In terms of investments in foreign enterprises, the Group and its subsidiaries invests in a large number of outstanding enterprises, such as Bank of Jiangsu, Tongsheng Medical Co., Ltd., Nenglian Science and Technology Co., Ltd., Lianyungang Lehuocheng Development and Construction Co., Ltd., Chuangyi Technology Microcredit Co., Ltd., etc.. At present, these invested enterprises develop steadily and rapidly, having achieved the expected appreciation in investment and good social benefits.
In April 2010, Lianyungang NewHeadLine Venture Investment Co., Ltd., a subsidiary of the Group, and China Science & Merchants (CSM) Investments (Fund) Management Co. Jointly established the first filing-system corporate equity investment fund in Lianyungang, Lianyungang Zhongkehuanghai Equity Investment Fund. The fund totals 5 billion yuan, with 1 billion yuan initially registered. It will focus on investing in projects with major innovation and rapid growth in fields of new energy, new material, biological pharmacy, equipment manufacturing, etc. in Lianyungang, and help enterprises improve their capital structures and help them to be listed to financing. The establishment of the Fund will play a positive role in fostering and expanding a batch of growing small-and-medium-scale and leading enterprises with independent intellectual properties and competitive advantages in Lianyungang.
Since its establishment, with the normative operation mode, professional investment management, and scientific decision-making mechanism, Lianyungang Zhongkehuanghai Equity Investment Fund accelerates to lay out emerging industries and high-quality projects. At present, its investment amount has accumulated to 826.5 million yuan and all its invested projects have bright prospects, so its net value has greatly increased.