Shanghai (ZXZC)- CEC Corecast Corporation released an announcement on November 18th, stating that the company plans to sign agreement with China Shipbuilding Industry Group Power Co. Ltd., Qingkong Tongheng New Energy and Yihai Fund and establish a new energy investment company in Xiongan New Area.

The newly built joint-venture brand would start with NEV renting business and aims to develop into a leading new energy industrial group across the nation.

It’s also announced that the newly-built company, with a temporary name of Tehengtong New Energy Investment Company, has an initial capital of RMB 500 million with a respective share proportion of 25%, 25%, 35% and 15% from the above four companies in accordance with their investments.

It’s learned that the joint-venture company mainly targets at NEV renting market in its initial period by purchasing 20,000 units’ NEVs and then handing them over to taxi companies, chauffeur-driven car companies and Yihai Renting in key cities for operation. Establishing a subsidiary company is also taken into consideration to take charge of dispatching and operation of vehicles.

The joint-venture company board consists of five directors, with two from China Shipbuilding Industry Group Power Co. Ltd and the other three from each of the remaining companies respectively. Board Chairman will be chosen among directors from China Shipbuilding Industry Group Power Co. Ltd or CEC Corecast Corporation.