To further implement the guiding principles of the Central Financial Work Conference and support the high-quality development of the real economy, SY Holdings Group Limited ("SY Holdings" or the "Group"; Stock Code: 6069.HK), China National Investment & Guaranty Corporation ("CICGC"), and Xiamen Xiangyu Jinyin Holding Group Co., Ltd. ("Xiangyu Jinyin") held a tripartite cooperation signing ceremony on October 31, 2024.
The signing ceremony was attended by senior executives from all three organizations, including Zhao Zhiping, Vice President of CICGC; Li Hui, General Manager of CICGC's Fintech Department and Digital Subsidiary; Wei Wenmei, General Manager of CICGC's Guarantee Department; and Wang Cheng, Deputy General Manager of CICGC's Digital Subsidiary. From Xiangyu Jinyin, Chairman Liao Shize, General Manager Chen Weibin, and Deputy General Manager Wu Xiaojia attended the ceremony, along with Wang Feng, General Manager of Xiangsheng Factoring. Representing SY were Chief Strategy Officer Yuan Ye and Chen Xi, General Manager of Asset Management Department, among other distinguished guests.
The three parties will fully leverage their respective resource advantages under the cooperation agreement to conduct comprehensive collaboration in supply chain financial technology. This strategic partnership will specifically focus on three key areas: industrial-financial integration of supply chain projects, credit enhancement cooperation for supply chain financing initiatives, and professional asset services for supply chain finance operations. The total value of this cooperation is projected to reach approximately RMB 10 billion, representing a significant commitment to advancing supply chain financial solutions through the combined strengths of all participating organizations. This collaboration brings together SY's technological platform expertise, CICGC's specialized credit enhancement capabilities, and Xiangyu Jinyin's industrial financial experience to create innovative financial service models in the supply chain sector.
Prior to this agreement, SY, CICGC, and Xiangyu Jinyin had already established their collaborative capabilities through a groundbreaking capital market transaction - Fujian Province's first externally credit-enhanced positive factoring ABS project. This initial cooperation successfully brought together the unique strengths of all three parties to create an innovative financing solution.
A key differentiator of this transaction was CICGC's participation as the third-party guarantor, marking the first time SY Technology had incorporated such credit enhancement into its securitization model. CICGC's involvement provided crucial credit support that enabled the deal to achieve an AAAsf rating from China Chengxin International Credit Rating Co., Ltd., the highest possible rating for structured finance products. The project's exceptionally low final issuance rate of 2.35% set a new benchmark for similar ABS products in Fujian Province, both in terms of tenor and structure. Beyond its immediate financial success, this transaction established an important precedent with broader implications.
SY, as the first supply chain technology platform listed on Hong Kong's Main Board (6069.HK), has established strategic partnerships with over 10 major core enterprises and connected with more than 130 funding partners, enabling over 16,000 SMEs to access RMB 210 billion in inclusive financial services through its technology-driven industrial supply chain solutions. Through its proprietary "SYT Cloud Platform" developed by subsidiary SY Technology, the group has facilitated RMB 30 billion in supply chain financial asset servicing. This new tripartite collaboration will combine SY's digital platform with Xiangyu Jinyin's industrial ecosystem to provide supply chain financing solutions for SMEs, potentially generating billions in new business annually, while the inclusion of CICGC as a third-party guarantor in SY Technology's securitization services is expected to enhance issuance efficiency, reduce financing costs by at least 1%, and deliver over RMB 100 million in savings across the RMB 10 billion cooperation scale, further strengthening SY's commitment to bridging the SME funding gap through fintech innovation.
Xiangyu Jinyin, as the core operating entity of Xiamen Xiangyu Group (a Fortune 500 company), is committed to fulfilling its corporate mission of "Empowering Industrial Growth · Revitalizing Asset Value · Supporting Life Aspirations" by building an integrated financial service system and a multidimensional investment platform. Focusing on three key business segments - industrial finance, consumer finance, and asset management - the company serves the development needs of its group's diversified industries while promoting industrial-capital integration. It provides comprehensive financial solutions and value-added services for upstream and downstream partners across industrial chains. Through strategic partnerships, joint ventures, and technology integration, Xiangyu Jinyin facilitates financial innovation in free trade zones and bridges domestic and international financial markets, working towards its vision of "building an ecosystem-leading financial landscape."
The signing of this tripartite agreement with SY and CICGC represents a strategic move to enhance industry-finance connectivity through an "Industry + Technology + Finance" model. This collaboration will create an intelligent bridge connecting quality assets with inclusive funding sources, injecting new momentum into the group's high-quality supply chain development. By leveraging their respective strengths in industrial operations, technological innovation, and financial expertise, the partners aim to establish a replicable model for efficient capital allocation in the real economy.
CICGC emphasised its unique position as China's first professional guarantee company and the only guaranteed institution controlled by a central state-owned enterprise. The company has consistently dedicated itself to building China's social credit system and promoting the healthy development of the national credit guarantee industry. In recent years, CICGC has actively supported key national strategies including inclusive finance, green finance, and regional coordinated development, while enhancing its credit guarantee functions across industrial and supply chain ecosystems. The company has focused on developing new business models and management approaches aligned with modern financial trends. As of the first half of 2024, CICGC has provided cumulative guarantee services totalling RMB 684.6 billion to more than 50,000 clients. Through this new partnership agreement, CICGC will strengthen resource sharing and demand matching with SY and Xiangyu Jinyin. The company will provide credit enhancement services for the partners' supply chain finance asset securitization projects, effectively reducing issuance costs and complexity. This collaboration aims to channel more financial resources to SMEs, jointly advancing the "Five Key Financial Priorities" with a particular focus on inclusive finance development.
Moving forward, SY will strengthen its partnership with CICGC and Xiangyu Jinyin to deepen cooperation and enhance ecosystem synergies, focusing on innovating inclusive financial products and services while effectively revitalizing existing assets to contribute to the development of the real economy through inclusive finance solutions. By leveraging SY's technological expertise in supply chain platforms, CICGC's professional credit enhancement capabilities, and Xiangyu Jinyin's industrial financial experience, the tripartite collaboration will develop next-generation supply chain finance solutions, improve capital efficiency across industrial ecosystems, expand access to affordable financing for underserved businesses, and create replicable models for asset revitalization - ultimately forming a powerful convergence of industry knowledge, fintech innovation, and risk management capabilities to serve China's real economy through advanced financial inclusion approaches.
