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RCIF invests in Zhaogang, China’s largest e-platform for steel trading

Moscow, [xx] July 2017 -The Russia-China Investment Fund (RCIF, established by the Russian DirectInvestment Fund and China Investment Corporation) has announced an investmentin Zhaogang, the largest e-commerce steel distribution platform in China.

 

Founded in 2012, Zhaogang is a digital B2B platformthat brings together steel producers andconsumers in China. It accounts for more than 40% of the online market for steelproducts trading in China. Zhaogang also offers a wide range of value-add services: from logisticsto financial services and legal transactional support.

 

Kirill Dmitriev, CEO ofRDIF and co-CEO of RCIF, said:

“The Chinese steel marketis heavily fragmented from the perspective of both manufacturers and buyers.This has created unique conditions for electronic B2B platforms like Zhaogang.The advanced technologies used by the company provide superior distributionchannel efficiencies. We believe that the participation of a Russian investorin the company''s share capital will enable Zhaogang to successfully implementits development plans in Russia. It will also help the company find newpartners from other industries interested in using the e-platform.”

 

Bing Hu, Co-CEO andPresident of RCIF, noted:

As the unparalleled leader in theInternet-based B2B steel distribution in China, Zhaogang has significantly enhanced the steeldistribution sector’s efficiency and transparency, which well fits the theme ofsupply side reform in China. We have been closely monitoring the company’s development for threeyears, and weare glad to make the investment now as the company’s business model has beenvalidated, after it has weathered the sector’s severe downturns and emerged as a winner. We believeRCIF’s investment will help the company implement its international businessstrategy in Russia and other countries along the One Belt and One Road.”

 

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Russian Direct Investment Fund(RDIF) is aRussian sovereign fund established in 2011 to make equity co-investments,primarily in Russia, alongside reputable international financial and strategicinvestors. RDIF acts as a catalyst for direct investment in the Russianeconomy. RDIF’s management company is based in Moscow. Further information canbe found at www.rdif.ru

 

Russia-China Investment Fund(RCIF) is ajoint fund established by the Russian Direct Investment Fund and ChinaInvestment Corporation. The activity of RCIF is aimed at development ofbilateral economic, trade and investment relations between Russia and China. Furtherinformation can be found at www.rcif.com

 

For additional information contact:

MariaMedvedeva                                          AndrewHayes / Yulianna Vilkos

Russian Direct Investment Fund                 HudsonSandler

Director ofExternal Communications Tel: +44 (0) 20 7796 4133

Tel: +7 495 644 34 14, ext. 2141

Mobile: +7 964 726 17 73

E-mail: mm@rdif.ru

 

Tony Han

Russia-China Investment Fund

Beijing, China

Tel.: +86 10 5762 9000

Fax: +86 10 5762 9111

dong.han@rcif.com

 

Yury S. Trofimov

Russia-China Investment Fund

Moscow, Russia

Tel.: +7 (495) 230-05-55 ext. 4243

Mob.: +7 (985) 765-13-12

yury.trofimov@rcif.com