Reportedly, Zhejiang Changxing Red Earth Venture Capital Co., Ltd. (Red Earth) was recently established jointly by the Changxing State Assets Management Company, Shenzhen Capital Group, and five local private enterprises.

The registration capital for the VC is RMB100M, 35% of which was from the Changxing State Assets Management Company, another 35% from Shenzhen Capital Group, and the remaining 30% from the five private enterprises. The VC will invest in competent enterprises with hi-growth prospects and recognized by capital markets via equity investment, bonds, convertible bonds, M&A, etc.