BEIJING and URUMQI,
China, Dec. 7, 2018 /PRNewswire/ -- China Lending
Corporation ("China Lending" or the "Company") (Nasdaq: CLDC), a
non-bank direct lending corporation servicing micro, small and
medium sized enterprises (MSME), currently underserved by
commercial banks in China, today
announced the expansion of its service offerings with the launch of
its new supply chain financing services including business
factoring program (the "Program"). The Program aims to provide
owners of small to medium sized enterprises (the "SMEs") with much
needed liquidity to finance operations and growth and will be
carried out through Zhiyuan Factoring (Guangzhou) Co., Ltd. ("Zhiyuan"), a recently
incorporated, majority owned subsidiary of the Company. With
registered capital of RMB 30 million,
Zhiyuan is 99% owned by Fenghui Dingxin (Beijing) Financial Consulting Co., Ltd., a
wholly subsidiary of the Company and the remaining 1% owned by
Hangzhou Juxinhui Trading Co., Ltd..
Additionally, the Company announced that it, through Ningbao
Ding Tai Financial Leasing Co. Ltd., has acquired 98.04% equity
interest in Hangzhou Zeshi Investment Partners ("Zeshi"), a limited
partnership with registered capital of RMB
51 million. Another shareholder of Zeshi is Dingxin
(Beijing) Financial Consulting
Co., Ltd with 1.96% equity as Executive Partner. Through Zeshi and its shareholders, China Lending plans
to launch new supply chain
financing services in the near
future, e.g. financing products design, related corporate financing
solutions, investments and asset management, etc. as part of its
restructuring plan.
Ms. Jingping Li, Chairwoman and
Chief Executive Officer of China Lending, commented, "As the gap between the services
that the traditional banking industry provides on the one hand, and
the financing demand of a newly emerging body of real economy on
the other, widens, the market calls for financing service providers
that customize financing solutions to satisfy small businesses'
needs which are essentially locally-embeded, industry-specific, and
flexible. It is in this new market niche of financing that China
Lending seeks to excel.
"Driven by the increasing globalization and complexity of supply
chains, supply chain financing has gained growing popularity in
recent years in China as more and
more companies, including both buyers and sellers, rely on third
party services to provide much needed extension of buyer's account
payable terms, inventory finance and invoice factoring, etc. The
market of supply chain financing in China reached RMB 14.42
trillion in 2017. Although factoring has been around for
quite a while as an alternative solution for companies in need of
accelerating their slowing-paying invoices (or account
receivables), it has gain popularity in recent years in
China as companies, particularly
SMEs, face increasing difficulties in obtaining financing to fund
operations or carry out new business initiatives. According to
Factors Chain International, China
is the largest business factoring market with transaction volume
reached over RMB 3.04 trillion in
2017. Leveraging our strong track record of helping SMEs through
our existing micro lending services, we believe that China Lending
is well positioned to capture our fair share of the fast-growing
business factoring sector in coming years."
About China Lending Corporation
Founded in 2009, China Lending is a non-bank direct lending
corporation and provides services to micro, small and medium sized
enterprises, farmers, and individuals, who are currently
underserved by commercial banks in China. Headquartered in Urumqi, the capital of
Xinjiang Autonomous Region, with a registered capital of
$94.7 million (RMB 600 million) as of June 30, 2018 China Lending is one of the largest
direct lending companies in the region in terms of registered
capital. For more information, please visit:
www.chinalending.com.
Forward-Looking Statements
This press release may include forward-looking statements
within the meaning of the "safe harbor" provisions of the Private
Securities Litigation Reform Act of 1995. All statements, other
than statements of historical facts, included in this press release
that address activities, events or developments that China Lending
expects or anticipates will or may occur in the future are
forward-looking statements and are identified with, but not limited
to, words such as "may," "believe" and "expect." These statements
are based on certain assumptions and analyses made by China Lending
in light of its experience and its perception of historical trends,
current conditions and expected future developments as well as
other factors it believes are appropriate in the circumstances.
Actual results may differ materially from those expressed herein
due to many factors such as, but not limited to, (1) the ability to
maintain the listing of the Company's securities on the NASDAQ
Capital Market; (2) the outcome of any legal proceedings that may
be instituted against the Company; (3) changes in applicable laws
or regulations; (4) the possibility that the Company may be
adversely affected by other economic, business, and/or competitive
factors; and (5) other risks and uncertainties indicated from time
to time in the Annual Report and other filings with the SEC,
available at www.sec.gov.
These forward-looking statements are based on information
available as of the date of this press release and involve a number
of judgments, risks and uncertainties. Accordingly, forward-looking
statements should not be relied upon as representing our views as
of any subsequent date and the Company undertakes no obligation to
update any forward-looking statements contained herein to reflect
events or circumstances which arise after the date of this press
release, whether as a result of new information, future events or
otherwise, except as may be required under applicable securities
law.
For investors and media inquiries please contact:
At the Company:
Katrina Wu
Email: wuxiaoqing@chinalending.com
Phone: +86-991-316-9617
Investor Relations:
Tony Tian, CFA
Email: ttian@weitianco.com
Phone: +1-732-910-9692
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SOURCE China Lending Corporation