China's IT distribution service provider Digital China says it has reached a memorandum of understanding with Suzhou Ventures Group and they will together open two joint venture companies, including an investment management company.
According to the MOU reached between the parties, one of the joint venture companies will be engaged in IT value-added services and IT solutions, and Digital China will take the company's stakes by injecting part of its IT service and SVG by investing in cash. However, the two sides have not disclosed how much funds SVG will invest in the new companies.
The MOU also suggests that the parties will set up an investment management company to invest in information technology related fields.
Digital China says that the cooperation with SVG will help it make use of the latter's capital advantage, increase its existing technology services and explore new investment opportunities.