NEW YORK, Ideanomics (Seven Stars Cloud Group, Inc.) (NASDAQ : SSC ) (“Ideanomics” or the “Company”), a leading global fintech and asset digitization services company focused on digital asset production and distribution, has today announced a monumental, three-year, $6B deal with First Auto Loan (http://www.dycd.com/), China’s leading auto financing company.
Financing activities will be completed via both fixed income and asset-backed security offerings through a hybrid of both traditional distribution channels as well as Velocity Ledger’s blockchain-based offering globally.
Under the terms of the deal, Ideanomics, through its global strategic alliance network, will provide two distinct financing campaigns, one in China and the second across global markets. Ideanomics has exclusivity for financing activities outside of China. The Company will collaborate on financing activities that are conducted within China.
Financing activities within China amount 35B RMB (approximately $5.1B USD) over three years. The financing agreement for activities that will be conducted outside of China, and are exclusive to SSC, over the same period is $1B USD.
In line with Ideanomics’ 4+2+1 Strategy, this deal is representative of the Company’s Fixed Income Financial Digital Assets market penetration to provide global fractionalization, securitization, and tokenization of healthy cashflow-producing real-world assets. Additionally, the Company is building out a global value chain which includes sales and trading as well as AI-enhanced asset ratings.
The financing agreement is to ensure compliance with government mandated electric vehicle upgrades to China’s ride share vehicles, which is inclusive of Didi-Uber and Capital, China’s top ride-sharing services providers. The ride sharing industry includes online platforms and apps that connect passengers and drivers in a dynamic real-time transportation network.
According to Statista data sources, China is the largest ride sharing market in the world with reported revenue of $29.7B in 2018 compared with that of the United States at $17.2B in 2018 according to. Furthermore, ride-sharing is expected to show an annual compound annual growth rate of 18% from through 2022, with an expected $58B in market volume in the same period.
“We are very much looking forward to working with Ideanomics as we move forward on this high-impact lease financing agreement. The modernization of infrastructure in China is paramount to the success of our national economy and converting our existing fleet of ridesharing vehicles from conventional combustion systems to those of modern and electric systems speaks volumes of our focus on energy conversation and efficiency. We couldn’t be prouder to do so than with Ideanomics, a company that is leaning forward in financial technology, and whose mission and vision are aligned with the future of financial markets,” said Guo Chao, CEO of First Auto Loan.
Bruno Wu, Chairman and Co-CEO of Ideanomics: “We are proud to have secured this phenomenal global deal with First Auto Loan. This exemplary opportunity represents the blockchain-based fintech services that Ideanomics has set forth to accomplish as part of our Company’s Fixed Income Financial Digital Asset Strategy. It truly represents a paradigm shift in global financing activities and Ideanomics will continue to set a trailblazing path which will benefit all aspects of automotive and ride-sharing industries.”
SOURCE Ideanomics (Seven Stars Cloud Group, Inc.)