Shijing Information’s wholly-owned subsidiary Shiji Hong Kong plans to enter into an agreement with Great Kylin Investment’s individual shareholder Honglin Zhang to acquire full ownership of Great Kylin Investment from Mr. Zhang for RMB 152.145 million in cash. Great Kylin Investment will be a fully-owned subsidiary of the Hong Kong-listed Shiji upon completion of the transaction, according to an announcement released by Shiji Information on May 27.
Registered in British Virgin Islands with USD 50,000 in capital, Great Kylin Investment mainly operates as a holding company and offers consulting services. The company holds 19.6% voting right of Huanxun E-commerce in Shanghai.
China’s first third-party payment company iPS is fully-controlled by Huanxun E-commerce, and the parent company signed an agreement with Shiji Information on November 24, 2010 to transfer 15% of iPS’ shares to Shiji for RMB 15.75 million. Shiji further acquired 7.5% shares of iPS for RMB 36.75 million from Huanxun on June 9, 2012. It is holding 22.5% of iPS after the two deals.
Following the latest share deal with Great Kylin, Shiji Information will form more diversified and closer equity ties with Great Kylin Investment and Huanxun E-commerce to explore more cooperation opportunities. Shiji Information will also be able to keep tap of the market potential of the payment segment, and combine that with its strategic advantages in hospitality, retailing and catering to strengthen its competitiveness. (Translated by Jerry)
