Sheng Ye Capital Limited (“SY Capital” or the “Company”, stock code: 6069.HK), an industry focused supply chain fintech platform, today announced that its subsidiary, SY Factoring Limited (“SY Factoring”), recently entered into a strategic partnership agreement with China Railway Capital Commercial Factoring Co., Ltd. (“China Railway Capital Commercial Factoring”), the factoring arm of China Railway Capital Co., Ltd. (“China Railway Capital”).
The agreement will further expand the breadth and depth of the partnership and allow the two companies to jointly provide data-driven and accounts receivables (“AR”)-based factoring services to small, medium and micro suppliers within China Railway’s supply chain ecosystem. China Railway Capital Commercial Factoring will also provide an additional RMB1 billion in funding for the cooperation. The two parties will integrate SY Capital’s leading digital technology capabilities and China Railway Capital Commercial Factoring’s resources in the infrastructure sector to cooperate in various areas, including smart construction, joint factoring solutions and digital technology, as part of both companies’ continuous efforts to expand supply chain digital finance and the ecosystem for smart services.
China Railway Capital is a key member of the financial arm of the China Railway Engineering Corporation ("CREC"), which was ranked on the Fortune Global 500 list and the World's 500 Most Influential Brands list in 2020. China Railway Factoring operates the CREC E-credit system (中鐵E信), which is the sole supply chain finance platform under CREC. Leveraging its rich experience in the construction sector and extensive industry resources, China Railway Capital Commercial Factoring provides market-oriented and industrialized online financing services to facilitate the growth of the infrastructure business of CREC.
As a leading supply chain technology platform, SY Capital continues to focus on developing and exporting its smart industrial technologies and digital fintech platform. Since unveiling its “Dual Engine, One Platform” growth strategy earlier this year, SY Capital has signed a cooperation agreement with Tencent Cloud to further penetrate the smart construction business. Later, SY Capital and Tencent co-led a strategic investment in Beijing Mengcheng Technology Co., Ltd., a leading software as a service (“SaaS”) provider of engineering management solutions for the infrastructure sector, accelerating its development of digital supply chain solutions.
Through this collaboration, SY Capital will leverage its artificial intelligence technology and advanced data analytics to enable real-time, multi-dimensional risk monitoring, which will help to significantly improve operational efficiency. China Railway Capital Commercial Factoring provides a full suite of services to a high-quality client base across the CREC system, helping them to enhance their ability to verify transaction authenticity and AR collection. By leveraging SY Capital's digital technologies, the two companies will be able to introduce more innovative and inclusive supply chain financing products.
The partnership between SY Capital and China Railway Capital Commercial Factoring underscores the solid recognition of the two companies. Both parties will enhance their R&D capabilities and service quality to accelerate industrial digitalization, drive supply chain efficiency, and make finance more inclusive.
