IoT software and solutions provider Internet of Things Inc. has announced that it had signed a Letter of Intent to form a joint venture partnership with New Hope Data Technology Co., Ltd. a New Hope Group. The latter is one of China’s largest privately-owned enterprises and in the Top 500 Enterprises for 14 consecutive years.
With annual revenues of nearly 80 billion Yuan or US $15.5 billion, New Hope is involved in a wide range of sectors, from agriculture and real estate to infrastructure, chemical engineering, finance and insurance.
The partnership will position IoT Inc. to sell Internet of Things (IoT) solutions and services to New Hope’s network of factories and businesses, in addition to other customers across mainland China, said Internet of Things, Inc.. New Hope aims to use Industrial IoT technologies to improve the operational efficiency and transparency of New Hope owned factories as well as other manufacturing facilities in China.
“This is a great opportunity to transform and modernize New Hope’s expansive network of more than 600 businesses across China with measurable and effective IoT solutions,” said IoT Inc. CEO Michael Frank. “We are now on our way to implementing IoT Inc.’s strategy to enter the vast and profitable marketplace across China, which needs industrial IoT solutions.”
New Hope will hold a 49 per cent interest in the new venture and will invest initially $2 million as an operating and working capital loan, while IoT Inc. will hold the remaining 51 per cent stake. Initially, upon signing the definitive joint venture agreements, New Hope will also invest $300,000 by way of a convertible debenture into IoT Inc. for general corporate purposes.
In addition, the joint venture plans to negotiate strategic distribution partnerships with various leading IoT technology companies around the world.
Image Credit: Internet of Things, Inc