- Sealand Capital Galaxy said it had signed a memorandum of understanding with Guangdong HuaCheng Technology to form a new joint venture company.

The venture would obtain and own a license to operate Tencent RMP Car's activities across China.

Guangdong HuaCheng Technology is currently the national agent of Tencent RMP Car.

Sealand would own 55% of the JV, which was currently undergoing the necessary regulatory approval process to become a variable interest entity.

Tencent RMP Car provided car-related information, news, professional reviews and sales enquiry services.

Chinese consumers typically used Tencent RMP Car when considering the purchase of a vehicle and the promotional activities hosted by the platform have a high consumer uptake.

'This is an exciting venture for Sealand as it gives us access to the Chinese automotive market,' executive chairman Nelson Law said.

'We will seek to bring international car manufacturers into the considerable opportunity afforded by the market in mainland China.'

'Additionally, there is a further opportunity with external funding to create a business to businesses car financing scheme within the JV company.'

'Such a scheme would lower car dealers' risk, whilst benefitting from revenues such as interest and garage and management fees.'

'I look forward to updating the market further on these initiatives in due course.'

At 8:09am: [LON:SCGL] Sealand Capital Galaxy Limited Ord Shs Gbp0.0001 Each Di share price was 0p at 2.75p

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