Zacks_Analysts' Blog : China CGame & the Committee - Analyst Blog

China CGame Inc. (CCGM) announced its cooperation with the Administrative Committee of the Jiangsu Wujin High Technology Industrial Development Zone, a branch of the Wujin district government in the city of Changzhou, also called the Committee.

Under the terms of the agreement, China CGame has established a subsidiary called Changzhou ConnGame Network, Ltd in the city of Changzhou and has agreed to shift its headquarters to Changzhou. The Committee has also given the nod to make an equity investment of RMB 20 million in Changzhou ConnGame through the Changzhou Binhu Remnimbi Construction Development Group Co., a state-owned company controlled by the Administrative Committee.

In addition, the Committee will also assist the company to obtain RMB 10 million, required for early stage operating expenses.

According to the company, the city of Changzhou is the best place available for a company like China CGame as it has more than three hundred software and animation companies located in the Wujin district of the city. Relocating the headquarters will only help the company increase its value and develop the high technology industrial base of Changzhou.

According to the Committee, China CGame will not only add very much to the development of the local technology but also attract a great deal of talent and capital to the city.

China CGame is a self-developer of online games and a provider of high-end envelope architectural systems. With the help of its two subsidiaries, Changzhou ConnGame Network Ltd. and Shanghai ConnGame Network Ltd., the company provides game engines, development platforms, and production teams to develop and operate MMORPGs. The company also provides design, engineering, fabrication and installation services for high-end curtain wall systems, roofing systems, steel construction systems, and eco-energy systems.