A leading Chinese investment bank is teaming up with tech giant Tencent on a new fintech joint-venture.
China International Capital Corporation (CICC) announced on the evening of 24 September that it plans to establish a new joint-venture tech company with Tencent.
The registered capital of the company will be 500 million yuan, with CICC holding 51% of equity and Tencent Digital (Shenzhen) Co., Ltd. (腾讯数码(深圳)有限公司) the remaining 49%.
“The joint-venture tech company is a strategic arrangement of CICC in the area of wealth management,” said Bi Mingjian (毕明建), CEO of CICC, according to a domestic media report.
“We are extremely happy to be able to cooperate with Tencent in the digitization sphere, given their leading capability and rich experience, and jointly explore a digital future with immense potential.”
CICC is currently Tencent’s third largest shareholders, having announced the purchase of 207 million of Tencent’s H-shares at a price of 13.8 Hong Kong dollars per share in September 2017, acquiring 12.01% of all H-shares and 4.95% of all equity.