GTG and QMA Report 150 Million RMB Investment

The Guanghui Technology Group and Quantum Materials Asia Co., Ltd., a joint venture of GTG and Quantum Materials Corp, reported an investment by the China Government Guidance Fund of 150 Million RMB ($21.8 million) in GTG and QMA.

Quantum Materials Asia was originally established in Hong Kong in September 2016 with registered initial capital investment of 100 million RMB (US$14.4 million). QMA will build two quantum dot production line and application development centers in the Beijing and Changde Special Economic Development Zones. The advantages to QMA of siting the facilities in these locations includes a full refund of the land purchase cost upon facility completion as well as a five year state tax exemption. It will also put them close to clients.

Analyst Comment

This is a useful step forward for QMC. For more on the company, see our report on our CES meeting (Quantum Dot Makers Vary at CES). (BR)