The Qianhai Authority singed a framework agreement with China Merchants Group on Saturday morning, aiming to incorporate a joint-venture company and co-develop 2.9-square-kilometers of land, which was previously transferred to the group and has become a logistics park.
The agreement is regarded as a landmark in the cooperation between small government and big market.
Singed by Du Peng, director of the Qianhai Authority, and Sun Chengming, vice-general manager of the China Merchants Group, the agreement stated that the joint venture will be established by the Qianhai Development and Investment Holdings Company and China Merchants Shekou Holdings Company.
Each of the parties shares a 50-percent equity stake and China Merchants Group will consolidate the joint-venture company’s financial statements.
Shenzhen Party chief Ma Xingrui said at the signing ceremony that this attempt was an innovative exploration for government management and the development of State-owned enterprises.
“Qianhai is a special zone of the Shenzhen special zone, and the China Merchants Group has had a significant influence on the city’s development. With [policy] advantages [brought by the Qianhai Shenzhen-Hong Kong Modern Service Industry Cooperation Zone and Guangdong Pilot Free Trade Zone], Qianhai will carry out a new management mode and set an example for the other areas in Guangdong and the country,” Ma said.