Legend Capital injects over RMB 100 mln into Tencho Technology

Oct. 20, 2009 (China Knowledge) - Legend Capital, an independent venture capital subsidiary of Legend Holdings Ltd, injected more than RMB 100 million into Tencho Technology to help the latter firm expand in the mainland market, sources reported.

Tencho CEO Zhang Hui said the firm's goal is to open 1,000 exclusive stores within three years.

Zhang revealed that the firm will set up several subsidiaries and affiliated firms in key cities in China in the next year.

Legend Holdings holds a positive outlook on Tencho's marketing plans because the company has the resources needed to carry out its development strategy.

Furthermore, Yu Bing, the founder of Tencho, previously worked as the senior vice president of Lenovo Group Ltd<0992><LNVGY>, the world's fourth-largest PC manufacturer and a subsidiary of Legend Holdings.

Tencho over the weekend opened the first Lenovo flagship store in Shanghai. The new store, which is different from existing Lenovo stores, has a conference area as well as two floors of retail space.

Sources indicated that Tencho's chain stores currently only sell Lenovo-brand PCs and peripherals.

Tencho has more than 90 chain stores in mainland china. It has established subsidiaries in Chinese cities such as Beijing, Shanghai and Guangzhou.