On June 30, 2016, China First Capital Group ("CFCG"; stock code: 1269) announced that its wholly-owned subsidiaries First Capital Fund Management Limited ("FC Fund") and Shenzhen Qianhai First Capital Financial Leasing Co., Ltd. ("FC Financing and Leasing") formed a limited partnership with Central China Asset Management Co., Ltd. ("Central China Asset") and that company’s wholly-owned subsidiary Central China Equity Investment and Management Co., Ltd. ("Central China Equity Investment"), in order to jointly develop investments in the education industry.

Under the agreement, the limited partnership's total investment is RMB500,020,000, with FC Financial Leasing and Central China Asset, which are limited partners, contributing RMB300 million and RMB200 million, respectively, while FC Fund and Central China Equity Investment provide RMB9,800 and RMB10,200 as general partners, respectively. When the limited partnership's operation requires additional financial resources, new partners may be admitted to increase the total capital contribution.

Central China Asset, with its background in the Henan provincial government, is an investment and financing platform of the Henan Province Department of Finance, and has a vast network of resources across the nation, a fact that is beneficial to the joint venture's investments in China's education industry. On the other hand, FC Fund is a private equity fund with a focus on investments in the education industry, whose competitive advantages based on its investment experience and superior investment management can result in great synergies with the investment management of the joint venture.

Dr. Wilson Sea, CFCG's Chairman of the Board and Executive Director, said, "The Group has established a transition path of 'Education industry + Finance' since earlier this year. With the full adoption of the two-child policy across China, the development of private education as encouraged by the central government policies, and the rising demand for quality education driven by an expanding middle class, we believe that there is a vast scope for development in China's education industry. In particular, as one of the most populous provinces, Henan has an especially urgent demand for quality education. With the formation of the joint venture, it can take advantage of Central China Asset's local resources as well as FC Fund's investment experience in the education industry, enabling the Group to further tap into the education market in Henan Province and maximize returns for shareholders."