U.S.-China Green Fund Invests RMB 500 million into Huitongda to Greenergize China’s Rural Market - Reuters

 

U.S.-China Green Fund Invests RMB 500 million into Huitongda to Greenergize China’s Rural Market

U.S.-China Green Fund Invests RMB 500 million into Huitongda to Greenergize China’s Rural Market

Fri Dec 22, 2017 - 15:30pm UTC

U.S.-China Green Fund, an innovative private equity firm with a focus on green investments, announced that it has closed a transaction to invest RMB 500 million into Huitongda Network Co., Ltd. (“Huitongda”) to address rural sustainable development and poverty alleviation through private equity investments.

Beijing, China – December 22, 2017

U.S.-China Green Fund, an innovative private equity firm with a focus on green investments, announced that it has closed a transaction to invest RMB 500 million into Huitongda Network Co., Ltd. (“Huitongda”) to address rural sustainable development and poverty alleviation through private equity investments.

Founded in 2010 in Nanjing, Huitongda began to develop its rural e-commerce network in 2012. Through its O2O platform, Huitongda provides franchise members with training tools, financing, supply chain management, and sales support to better serve their rural customers.

As a pioneer in supplying electronics and home appliances to rural markets, the founders of Huitongda, Chairman Jianguo Wang and CEO Xiuxian Xu were keenly aware of the vast market potential of small and medium-sized townships and villages in China. The company has a deep understanding of the local characteristics of and the pivotal role mom-and-pop shops serve as both the agents for bringing goods to the countryside and upstream distribution channels for selling agricultural products.

Powered by the latest e-commerce technologies and the founders’ successful track record of building large-scale retail franchises, Huitongda developed a special new business model that has achieved great success. Now its network has reached over 78,000 mom-and-pop stores in 15,600 towns and villages across 18 provinces, serving nearly 50 million rural families with RMB 200 billion of GMV annually.

Dr. Bo Bai, CEO of the U.S.-China Green Fund, expressed his excitement and vision regarding this investment: “As a green private equity fund, we are pleased to become the green strategic investor into Huitongda to help transform it into a platform company to greenergize China’s country side, to improve the sustainability of China’s rural economy through both consumer service upgrades and environmental improvement, while also increasing farmers’ income and alleviating poverty. Huitongda’s innovative e-commerce business model and powerful network can be leveraged and enhanced to promote large-scale green product penetration and project execution for both green development and poverty alleviation in rural markets.”

Chairman Wang noted that “green development and poverty alleviation are an important focus of Huitongda’s future development. By empowering our tens of thousands of mom-and-pop shops, we are now promoting distributed solar systems for farmers’ rooftops and selling electric light pickup trucks to replace air-polluting diesel trucks. We are glad to have U.S.-China Green Fund become our green strategic investor. Through the partnership, we will be able to introduce more green products and technologies from U.S., Europe and China that are suitable for China’s rural markets. These products can also be commercialized through Huitongda’s vast rural network. In addition, we will continue to drive our network of mom-and-pop stores to serve as a channel to market for farmers to sell their agricultural products directly to urban consumers, expanding market reach and reducing distribution costs, and address poverty alleviation with market forces.”

Dr. Bai added, both companies are highly aligned on financial interests and social values to contribute to green development and poverty alleviation. The two companies agreed to empower some of the mom-and-pop shops to become “green village ambassadors” to help promote green products such as rooftop solar and source local green projects. The Fund is fully committed towards contributing to a green and sustainable rural economy through this meaningful investment in Huitongda.

U.S.-China Green Fund
U.S.-China Green Fund is a commercially-run private equity fund whose mission is to promote sustainable green development in China through innovative U.S.-China collaborations in finance, green technology and business models. The Green Fund has developed a unique five-pillared business model “P.R.I.M.E.” (Policy, Research, Integration, Money and Execution), to leverage policy support and use “industry + technology + capital” investment strategy to support strong execution teams to achieve its goal to “Invest · Greenergize China.” The Fund has made a number of investments in two main areas: 1) green energy, energy efficiency, and environmental protection and 2) green smart cities and villages, making great strides in commercial building energy efficiency, data center energy savings, green smart homes, waste heat recovery, distributed solar, and green smart parking etc..

Contact Info:
Name: Media Relations
Organization: U.S.-China Green Fund

This content is produced independently of Reuters Editorial News. For content inquiry, please contact reuters@vcnewsnetwork.com

For content enquiry, please reach us at

Latest News >

Vertex Ventures to co-lead US$11 million round in Israeli transcription startup Verbit

Verbit uses AI to combine software with human transcribers to improve quality, speed and price of services.

06:29am UTC

Indonesia’s Electronic Signature Startup PrivyID secures US$5 million in Series A

PrivyID is Indonesia’s DocuSign and it enables users and enterprises to digitally sign and transfer document online with an integrated audit trailer.

05:03am UTC

Online Content Marketplace GetCRAFT in talks to raise US$5 million Series A by 2018

GetCRAFT is an online content marketplace, which connects brands and agencies in Southeast Asia with content creators and marketers across the globe.

05:05am UTC

Malaysian wealth fund Khazanah to buy Prince Court Medical Centre from Petronas

U.S.-China Green Fund, an innovative private equity firm with a focus on green investments, announced that it has closed a transaction to invest RMB 500 million into Huitongda Network Co., Ltd. (“Huitongda”) to address rural sustainable development and poverty alleviation through private equity investments. Beijing, China – December 22, 2017 — U.S.-China Green Fund, an […]

06:57am UTC

VinaCapital to invest US$10 million in Vietnamese real estate firm Ricons

VinaCapital said the investment is in line with the company’s strategy to invest in company benefiting from strong domestic growth.

05:03am UTC