Arieli Capital and China Merchants Group ink deal to build ocean technology innovation center
The innovation center, which will be established in Southern China's city of Sanya, will be led by Arieli Capital and will incorporate an investment fund, accelerators, and incubators
Arieli Capital, a holdings and investment company with offices in New York, China and Tel Aviv, has signed a cooperation agreement with YSBSTC – the official innovation and technology unit of Sanya (Yazhou Bay Science and Technology City Administration) and with China Merchants, among China's biggest commercial institutions.
China Merchants, which reports an annual turnover of $105 billion and $1.4 trillion in assets in the shipping industry, banks, and insurance companies, will invest over $500 million toward establishing an international ocean technology ecosystem in Sanya. The innovation center will be led by Arieli Capital and will incorporate an investment fund, accelerators, and incubators.
"The aim of the innovation center, which will focus on ocean technologies and shipping, is to identify and grow Israeli and international breakthrough companies and technologies operating in the field and link them to China's innovation ecosystem in Sanya," read the press release.
Arieli Capital leads several innovation centers in Israel, including the largest agricultural innovation center in the country together with its largest regional council, Ramat Negev Regional Council. It is also involved with the innovation center in Eilat, which focuses on marine technologies, tourism, and agriculture.
“According to a Credit Suisse report (2020) the ocean and marine industry market size is estimated at $3 trillion per year (5% of the global GDP). It is an industry that impacts over 200 million jobs worldwide," said Or Haviv, Partner and International Innovation Manager at Arieli Capital. "The aim of the collaboration as we see it, is for Israel to connect with the innovation center in China and play a significant role in this major industry of ocean tech."
The innovation center is being built at the Yazhou Bay in Sanya and its first building is already in the process of opening its over 10,000m² of workspaces, labs, and business centers. The second phase includes turning the innovation center into a global center for marine industry and research, which leads the development of over 430,000m² dedicated to residential centers, commercial areas, labs and business centers for experts, researchers, and companies from around the world. There will even be a special neighborhood for Israelis, with live/work areas adapted to the Jewish culture and habits.
Jiang Zhimin, Member of the Party Committee and Deputy Director of the Yazhou Bay Science and Technology City Administration, Sanya, who took part in the signing ceremony held remotely due to Covid-19 restrictions, said: “I believe that this strategic cooperation will enable us to enjoy high quality international industrial resource for the science and technology city at Yazhou Bay. We have high hopes for the project."