FT. LAUDERDALE, Fla., July 18, 2005 (PRIMEZONE) -- Dragon Venture (Pink Sheets:DRGV), a holding company of high-tech companies in China, announced today that Shanghai Cnnest Technology Development Company, Limited ("Cnnest", http://www.cnnest.com), a subsidiary of DRGV, recently signed a partnership agreement with Shanghai Runyuan Logistics Company, Limited ("Runyuan") to form a joint venture.
Under the agreement, Cnnest and Runyuan will establish a joint venture with Shanghai Xintong Technology Company, Limited. This joint venture is dedicated to developing mobile Internet solutions for logistics for the trucking industry in China. As a leading company in the field of mobile Internet solutions and applications in China, Cnnest will be responsible for developing mobile Internet applications for logistics involving the trucking and freight industries, and seek to have the applications available through both China Mobile and China Unicom. In return, Cnnest will have 25 percent ownership of the new joint venture. Runyuan will provide all the funding for this joint venture including cost associated with the development and refinement of the applications, and in turn will have 75 percent ownership of the joint venture.
Hidy Cheng, Vice President of Dragon Venture and General Manager of Cnnest, commented, "We are very excited about this joint venture, because we believe the potential of this solution in the marketplace could be tremendous. Shanghai Runyuan is a leading company in the logistics industry in China. They have successful business operations, and an excellent reputation in China. The partnerships will provide us a great opportunity to turn our research and development into a commercial application for the logistics industry. The applications will provide the logistics industry a very efficient system in which information for transportation can be accessed through a cellular phone, anywhere. Our revenues will be generated from an annual fee of the use of the system for each account and usage fee of the system. We believe this partnership will generate substantial income for the company."
About Dragon Venture
Dragon Venture ("Dragon") is doing business in China through its subsidiaries. Dragon was established to serve as a conduit between Chinese high-growth companies and Western investors. The current focus of Dragon is on the development of wireless 3G-based applications and business solutions. Two companies that Dragon has acquired are among the leading providers of mobile Internet applications and business solutions in China. As China emerges as a growing force on the global stage, Dragon's professionals will provide invaluable services for Western investors seeking to gain access to the Chinese high-tech economy. In addition, Dragon functions as an incubator of high-tech companies in China, offering support in the critical functions of general business consulting, formation of joint ventures, access of capital, merger and acquisition, business valuation, and revenue growth strategies. Dragon will develop a portfolio of high-tech companies operating in China. Our focus will be on innovative technological applications, which are poised to alter the competitive landscape of the industry. In addition, the company acquires and invests in innovative technology companies in China or forms joint ventures with both American and Chinese companies, focusing on emerging technology industries including telecommunication, information technology, wireless applications, and other high-tech industries. For more information about Dragon Venture, please visit http://www.dragonventure.net.
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