October 18, 2023, from Tianjin/BeijingChina Enterprise Cloud Chain Co., Ltd. Cloudchain Group Co., Ltd. (abbreviation”Chinese enterprise cloud chain”) Submitted a prospectus on the Hong Kong Stock Exchange to be listed on the Hong Kong Main Board.

$Cloudchain Group Co Ltd (810540.HK)$Prospectus link:

https://www1.hkexnews.hk/app/sehk/2023/105803/documents/sehk23101800804_c.pdf

Main business

Chinese enterprise cloud chainEstablished in May 2015 by China Southern Auto Investment, CNR Investment, China Railway Construction Investment, China Heavy Machinery, Beijing Service New Shougang Fund, Jindie, and Zhidesheng Asset Management Investment. As China's leading independent industrial digital finance platform, it has developed into an industrial digital finance platform that can serve core enterprises (usually large enterprises with high credit ratings), chain enterprises (upstream and downstream enterprises in the industrial chain other than core enterprises), and financial institutions, and built an “N+N+N” ecosystem, that is, “N financial institutions+N core enterprises+N chain enterprises” Financial platform model.

According to Frost & Sullivan's data, based on the amount of rights confirmed in 2022 and the amount of financing,Chinese enterprise cloud chainIt is the largest independent digital enterprise authorization platform in China, with a market share of 25.9% and 31.3%, respectively. According to Frost & Sullivan's data,Chinese enterprise cloud chainThe independent platform is also the first independent digital enterprise authorization platform with a cumulative authorization amount exceeding RMB 1 trillion.

The number of users of the company's cloud chain platform increased at a compound annual growth rate of 75.1% from 2020 to 2022, with 230,434 and 295,650 as of December 31, 2022 and June 30, 2023, respectively. For the year ended December 31, 2022, the number of active users of the Chinese enterprise cloud chain platform was 163,226, mainly including core enterprises, chain enterprises and financial institutions. As of June 30, 2023, China Enterprise Cloud Chain has cooperated with 3,845 core enterprises, 289,461 chain enterprises, and 2,344 bank branches. The company's sales and marketing team covers 102 cities in 31 provinces and cities in China.

Chinese enterprise cloud chainThe operation includes three major businesses, namely authorization business, scenario digital business, and other ecological businesses.

• Authorization business accounts for the majority of the company's revenue. It mainly includes Yunxin services, factoring services, and supply chain bill services. The Group can buy accounts receivable recorded by Yunxin from holders and then transfer the collected accounts receivable to financial institutions. In addition, core enterprises can also issue supply chain notes on the company's platform, so that supply chain note holders can apply for bill financing from financial institutions. The fee for the authorization business is charged according to the factoring or bill financing amount of such transactions and the rate agreed upon in advance of the contract, expressed as an annualized percentage of the amount of financing received by the holder from the financial institution.

• Scenario digital business provides digital services to meet the needs of suppliers and core enterprises, and efficiently obtain financing in a one-stop and efficient business environment and various scenarios, including equipment leasing, procurement of inventory and materials, or digital business data management. This includes digital services for self-built scenarios such as cloud rental and cloud concrete, as well as digital services for directly connected scenarios such as cloud numbers.

• Other ecological businesses mainly include capital market services. The company provides securitization services by managing the entire life cycle of supply chain asset securitization. The company then conducts due diligence and review before the supplier's assets are packaged into a portfolio by the group's factoring company.

Shareholder structure

According to the prospectus,Chinese enterprise cloud chainIn the shareholder structure before listing,

Shareholding platform for company management and other key employeesGenting Assets(Yunzhitai, the chairman of the board, owns 80% of the shares, is the sole general partner), holding 23.11% of the shares;

State-owned investment in the Tianjin Economic Development Zone, holding 20.73% of the shares;

Huaxing Guochuang Fund, holding 10.31% of the shares;

China Railway Construction Investment, holding 5.18% of the shares;

Zhidesheng Jinxin Fund, holding 5.18% of the shares;

iQidaokou holds 4.60% of the shares;

Kingdee, holding 3.11% of the shares;

China Shipbuilding Investment, holding 2.59% of the shares;

China Energy Construction, holding 2.59% of the shares;

Oceanwide Vision Phase II, holding 2.59% of the shares;

China Merchants Venture Capital Fund, holding 2.59% of the shares;

Jiushi Investment, holding 2.59% of the shares;

Invested by CITIC Construction Investment, holding 2.53% of the shares;

Investment in the BAIC industry, holding 2.07% of the shares;

Nong Xing Xuying, holding 2.07% of the shares;

Jiaxing Ruiyu, holding 1.55% of the shares;

Yuntianhua holds 1.30% of the shares;

Zijin Equity Investment (Xiamen), holding 1.30% of the shares;

Jiaxing Jinsheng No. 1, holding 1.17% of the shares;

Saifu, holding 1.04% of the shares;

Chinese enterprise Yunshang Technology, holding 0.98% of the shares;

Angang Steel invests, holding 0.52% of the shares;

Rong Yuan holds 0.31% of the shares.

Directors and Executives

Chinese enterprise cloud chainThe board consists of 9 directors, including 3 executive directors, 3 non-executive directors and 3 independent non-executive directors.

directorates(9 people)

Auditors (3)

executives(4 people)

Executives include executive directors and general managersLiu ChangboMr. Deputy General ManagerSong WendongMr. Executive Director and Deputy General ManagerZhao HongjunMr. Deputy General ManagerDong GangMr. Deputy General ManagerJiang YongMr. Chief Financial Officer, Board Secretary, Deputy General ManagerBai XiaolinMadam, Deputy General ManagerBai JingMadam, Deputy General ManagerMeng QingweiMr. Deputy General ManagerLi Yuteacher

Company performance

According to the prospectus, in the past year of 2020, 2021, 2022, and the first half of 2023,Chinese enterprise cloud chainThe operating income was RMB 332 million, 550 million, 652 million, and 399 million yuan, respectively, and the corresponding net profit was RMB 44.20.5 million, -28.29 million, 456.85 million, and 61.968 million yuan, respectively.

Intermediary team
China Enterprise Cloud Chain's intermediary team for this IPO mainly includes: CITIC Construction Investment International, Agricultural Bank International, ICBC International, and Maxtime Capital as co-sponsors; KPMG as auditors; Deheng and Beck McKenzie as their company's Chinese lawyers and corporate Hong Kong lawyers; Commerce, China and Hong Kong lawyers; and Frost Sullivan as their industry adviser.