One of the most influential IT service providers in Korea SK C&C has bought a stake in Yunong Electronics (IT and Commerce Company in China) to proceed their new e-commerce business in the farming region of China.
The first stage of the new business will be based in Hubei province where many Chinese agricultural products are produced and more than half of the population in the province works for the agriculture industry
This investment was made under an agreement to improve the Chinese domestic distribution system as well as to invigorate the Chinese wholesale market of agriculture through e-commerce.
SK C&C will get a 42% stake in Yunong with the investment of 12,600,000 RMB. SK C&C aims at having 500 e-commerce service center until the end of this year and to expand further all over China until 2017.
“The support of Chinese government, growing demand of farmers and a strong business partner completed our business model” said SK C&C in a release.