Qinghua Hong, chairman of Joyu Group & founder of Lvmama Group, announced in an internal email on September 21 that Joyu-Lvmama has raised an additional RMB 1 billion, and that it has built a new partnership with Res Publica Industry & Finance Holdings.
A background check by China Travel News shows that Res Publica Industry & Finance Holdings is controlled by Res Publica Investment Co., Ltd. ("Res Publica Group"), which was jointly established on December 16, 2016 by FullShare Group, Drow Group, Zall Group, Joyu Group and Han’s Group.
Joyu Group announced a private placement of RMB 1 billion in September 2016, for which Nanjing-based FullShare Group offered to buy 11.46 million shares at RMB 61.05 per share, for a total of RMB 700 million. The recent RMB 1 billion financing from Res Publica Group has effectively completed this financing plan.
Public information shows that Joyu Group was listed on the New Third Board on December 22, 2015, and announced on January 3 this year it had applied to delist to the National Equities Exchange and Quotations (NEEQ). Mr. Hong revealed that during the listed period, Joyu had received up to RMB 1.18 billion injections from FullShare Holdings, Huace Media and various other established enterprises and investors.
Joyu Group received a USD 500 million strategic investment from Jin Jiang International in June 2016, and Mr. Hong also told employees in an email in 2014 that the company had received RMB 300 million investment.