Sheng Ye Capital Limited (“SY Capital” or the “Company”, together with its subsidiaries, the “Group”, HKEx: 6069), China’s first commercial factoring company listed on the main board of the Hong Kong Stock Exchange announced that it is currently in the process of pursuing initiatives to further strengthen its technology leadership and solidify its position within the supply chain ecosystem. This will be achieved through acquisitions and investments in several strategic key areas under its Dual-Engine, One-Platform plan announced in January 2021.
Industrial Technology Engine:
- Deepen industrial technological capabilities: The Group is exploring opportunities in Internet-of-Things (“IoT”) and software-as-a-Service (“SaaS”) solutions in our focused sectors including smart construction solutions, consumer healthcare SaaS solutions, hospital supply, processing, and distribution (“SPD”) services. This will allow the Group to create a highly digitalized supply chain ecosystem, further cementing its position in the infrastructure and healthcare segments.
- Expand into new markets via business-to-business (“B2B”) platforms: The Group is also evaluating specialized B2B e-commerce platforms for emerging industries and smart logistics providers to penetrate new industries boosted by digitalization and enter new markets and sub-segments of our focused industries.
Digital Finance Engine:
- Market consolidation: Along with increasing digitalization of the economy, the Group plans to leverage its platform to consolidate resources amidst the fragmented supply chain market through investing into regional data-driven supply chain financial services providers that demonstrate dominant market positions and/or competitive strengths in certain industries. This will enable the Group to drive market consolidation for the commercial factoring industry.
- Strengthen risk management: The Group will also consider tactical opportunities in focused fintech segments such as big data analytics and cloud services, blockchain capabilities as well as enterprise payment solutions, which will further enhance the accuracy of data analytics and reinforce risk management capabilities of the Group.
Investments into the Dual-Engines set out above will enable the Group to acquire deeper industry data, enhance its technological capabilities and create new markets within the supply chain ecosystem to capitalize on the burgeoning demand for supply chain financial services. This will accelerate the Group’s “platformization” strategy and boost its platform-based technology services and market position within the supply chain financing ecosystem. Additionally, these initiatives are also aligned with the Chinese government’s policies for developing strategic emerging industries as well as supporting the stable and healthy growth of the small and medium enterprises segment.
The Group believes that the successful integration of these core competencies will cement its technological leadership, further drive supply chain efficiency, and promote inclusive finance as part of its long-term corporate objectives.
