NEW YORK, June 16, 2017 /PRNewswire/ -- Wecast Network, Inc. (NASDAQ: WCST) ("Wecast" or "WCST) announced today the formation of a Joint Venture ("JV") called Seven Stars He Ying Smart Cloud ("SSHY"), with Beijing HE YING Fund Management Limited ("He Ying"). The JV, which will be 51% owned by Wecast and be added to the Product Sales Cloud, will focus on several strategic areas using Wecast's burgeoning BASE + VPaaS infrastructure: supply chain finance, supply chain management and financial settlement for both the automotive and commodities industries as well as a global commodity index exchange module based on the NextGen Exchange Group's existing platform, trading system and technology (as previously announced, Wecast recently acquired 51% of NextGen Exchange Group).
To facilitate the cross-border supply chain finance segment of the JV, SSHY and Wecast will establish a limited partnership fund in China, with SSHY responsible for raising RMB 50 Billion ($7.4 Billion USD) from investment partners such as government entities, banks and insurance companies over the next 18 months. Since 2015 (and separate from the JV that is being announced today), He Ying's management has raised RMB77 Billion in private equity funds. Wecast will oversee the management and business development of the JV's operations and projects.
Once fully operational, the supply chain finance fund could theoretically convert each dollar from the fund into the generation of 6-10x sales turnover over a 12 month period, with average gross margins for the commodity and automobile industry, of 1-3%.
About Wecast Network, Inc. (http://corporate.wecastnetworkinc.com)
Wecast Network (NASDAQ: WCST) is aiming to be the leading provider of total B2B business solutions for today's constantly evolving business landscape. With a focus on 'BASE' technology and infrastructure (Blockchain, Artificial Intelligence, Supply Chain & Exchanges) to power our V PaaS (Virtual Platform as a Service), WCST is creating a closed trade ecosystem for buyers and sellers designed to eliminate supply chain and transactional middlemen and create a more direct and margin-expanding trading path for principals. WCST is applying BASE + V PaaS to focus on 3 Core Cloud Areas: I. Brand, Content & Intellectual Property Cloud; II. Product Sales Cloud; III. Transactional Finance Product Cloud. With the three clouds functioning both independently and interdependently, Wecast is creating a vertical, transactional and flexible platform for today's global enterprises.
The Company's mission and vision is to be the world's leading cloud-based, total B2B enterprise solution & platform provider that empowers businesses to grow with Big Data technology.
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Wecast Network, Inc.
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SOURCE Wecast Network, Inc.