The world’s largest utilities company is making a foray into fintech in northern China’s Xiong’an New Area.
State Grid Corporation of China has announced the launch of the State Grid Xiong’an Fintech Group Co., Ltd. (国网雄安金融科技集团有限公司), a share-controlled subsidiary of State Grid which is registered in the Xiong’an New Area of Hebei province.
The company has just obtained approval from the Xiong’an New Area Administrative Commission as well as completed industrial and commercial registration and business licensing procedures, to become China’s first fintech company to establish a toehold in the Xiong’an New Area.
Xiong’an Fintech Group has registered capital of 1 billion yuan, and primarily engages in “platform transaction, big data credit assessment and financial informatization” operations, as part of efforts to “effectively drive the establishment of the Xiong’an New Area as a digitised city.”
Xiong’an Fintech Group will work closely with State Grid’s other fintech vehicle, State Grid E-Commerce Co., Ltd. (国网电子商务有限公司), which was established at the start of 2016 as a fully-owned subsidiary that focuses on e-commerce and internet finance operations.
State Grid E-Commerce has already established China’s leading energy e-commerce integrated services platform, with 210 million customers and annual transactions worth 260 billion yuan.