Source: Yucheng Technologies Ltd.
3i Infotech, a global provider of IT solutions and the fourth largest Indian software products company, today announced the signing of a non-binding Memorandum of Understanding (MoU) with Yucheng Technologies Ltd., a leading provider of IT solutions and services to Chinese banks and financial services companies, to set up a 51:49 Joint Venture in the People's Republic of China.
This marks 3i Infotech's foray into China, a high growth market. As there is considerable similarity between the market dynamics in India and China, the expertise 3i Infotech has in providing software products and IT services to the Banking, Financial Services and Insurance (BFSI) sector in India, combined with the customer relationships and expertise Yucheng has in catering to the Chinese market, can be leveraged to provide products and services to BFSI entities in China.
Yucheng Technologies Ltd., headquartered in Beijing, China, is a NASDAQ listed company with more than 1,700 employees and has established an extensive footprint to serve its banking clients nationwide with subsidiaries and representative offices in 11 cities. Yucheng provides a comprehensive suite of IT solutions and services to Chinese banks including 1) channel-related IT solutions, such as Web banking and call centers, 2) business-related processing solutions, such as core banking systems, foreign exchange and treasury management, and 3) management-related IT solutions, such as risk analytics and Business Intelligence (BI). It is also a third party provider of POS merchant acquiring services in partnership with banks.
Commenting on the development, Mr. V. Srinivasan, MD & CEO, 3i Infotech, said, "3i Infotech has a long standing tradition of entering markets with a high growth potential. The Asian markets in particular are of keen interest to us, given the huge growth potential that they offer." He further added, "With Yucheng's focus on and deep knowledge of the banking industry in China and its dynamics, the synergies between their business goals and those of 3i Infotech made them a natural choice for our foray into China. We look forward to a long and fruitful relationship with them."
Mr. Weidong Hong, CEO, Yucheng Technologies Ltd., said, "Yucheng is among China's leading IT solutions companies for the banking industry and 3i Infotech is one of India's top software product companies with proven technologies and capabilities. I am confident that Yucheng's reach in the Chinese market combined with 3i Infotech's product capabilities will greatly benefit the Chinese BFSI market."
Mr. Rajiv Malhotra, Innovative Solutions, New Delhi, was the advisor to both the parties.