Strategic Joint Venture will provide investment capital and act as a business incubator for Western companies entering the China market.
SHENZHEN, China, Dec. 28, 2016 /PRNewswire/ — Puji Group and Galaxy Holdings announced a joint venture agreement to create a new economic and business region in Shenzhen to bridge and innovate cross-border business between China and the West through investment and business support.
The new joint venture platform is projected to spark innovation and encourage cross-border business cooperation and investment by providing both direct investments as well as the professional services for global companies expanding in China and other key, high-growth markets in Asia.
With this new joint venture platform, the two companies stated their goal is to target and invest into more than 10 small to medium sized Western growth companies in each of the three core industry sectors: mobile gaming, media technology and consumer hardware with the purposes of developing separate joint ventures to enter and expand into the China market; capitalize on the rapidly-growing Chinese consumer market; and establish strategic positions along the respective industry ecosystems.
The new innovation and business hub will be based in Shenzhen and has already developed programs with a preferred network of strategic partners across China for co-investments, commercial cooperation, distribution, and point of sale opportunities for Western companies the platform invests into.
“As a Special Economic Zone that is only 30 minutes’ drive from Hong Kong, Shenzhen has the most developed infrastructure and business environment in the country to help companies reach full potential,” stated Yao Huiqiong, CEO of Galaxy Holdings. “Shenzhen is already known as the epicenter of China’s booming mobile, internet, hardware, and new technology industries. With a population of 22 million, a leading growth rate among all the Tier 1 cities and the highest ratio of young professionals from 20-30 nationwide, Shenzhen is undoubtedly the most vibrant business city in China and positioned to be the Silicon Valley of the East. This new platform will create new jobs and economic benefits for the city and truly define Shenzhen as the new innovation capital for China and Western business.”
Alex Szeto, Investment Director at Puji Group stated, “We are uniquely positioned in the market as we have participated in various cross-border investments and provided related advisory between China and the West for over 15 years. We have seen nearly every iteration of pitfalls and pain points for Western companies entering China — and have carefully created a 360 degree full-service platform with Galaxy to address those needs and challenges. So, now when we make direct investments into the US and Western companies coming to China, we can also provide a tailored and turnkey solution and strategy for success. Galaxy (Holdings) is a cornerstone brand name throughout China and we are beyond thrilled with this new venture with them.”
Founded in 1988, Galaxy is a China leading conglomerate with primary businesses in four key areas — Real Estate, Industrial, Property Management and Finance and a total asset scale over 15 billion USD. Its real estate business expands throughout 13 cities across Pearl River Delta, Yangtze River Delta Circum-Bohai-Sea Region; Shenzhen Galaxy World is a nationwide pilot of Integration of Industry-Finance Capital and Galaxy Incubator is a leading innovation platform with an extensive network of international strategic partners; Galaxy also owns cutting-edge lifestyle shopping malls Coco Park, Coco City and Coco Garden and the ultimate luxurious hotel Ritz-Carlton in Shenzhen CBD; Galaxy Finance has established a comprehensive business scope including insurance, banking, equity investment, venture capital, small business incubators, Internet banking and etc. with total asset under management exceeding 150 million USD. In the past 28 years, Galaxy has been active in devoting to social welfare and made a total donation of over 220 million USD in philanthropy, religion and education so far.
For more information, please visit http://www.chngalaxy.com/.