Management of state-owned assets is one of the key business of SDIC, which, together with industrial investment and service business led by financial services, form SDIC's three-pillar business structure. State-owned assets management refers to bringing the unique role of an investment holding company into play through its functions of industry integration, enterprises rejuvenation and assets disposition, with its aim to support central and local governments, by means of market, in accelerating the pace of state-owned assets restructuring. Especially in the process of reincorporation of central enterprises, SDIC has made its efforts to help government in maintaining social stability and gaining benefits through assets optimization.

 

SDIC's asset operation business is, to some extent, policy-oriented and the way for SDIC to obtain assets includes gratuitous transfer, trusteeship and acquisition, etc. Business process is normally to take different operation modes based on the actual conditions of the enterprises to be taken over after SDIC having carried out due diligence, assets diagnosis and classification on them. SDIC usually will transfer the assets, which are in line with SDIC’s development strategy and are worth of being transferred, into the industrial operation platform for further growth; transfer the assets, which have no development potential, into corporate assets management platform and deal with them properly; and develop those enterprises, which are suitable for independent development, into subsidiary companies of SDIC. Such subsidiaries can share the development platform of SDIC.

 

In 2005, SDIC was chosen by SASAC as one of the experimental units engaging in asset management. As of March 2005, SDIC served as the trustee of China National Packaging Corporation, which kicked off the works of central enterprises trusteeship. After more than two years' operations, SDIC has completed the job successfully with the prerequisite of maintaining social stability and guaranteeing asset safety, which was highly commenced by SASAC. In October 2006, SASAC allocated the China National Investment and Guaranty Company to SDIC as its fully-owned subsidiary. Then, SDIC injected funds into China National Investment and Guaranty Co, laying a solid foundation for its further development. In November 2007, SASAC allocated the China Textile Resource Corporation to SDIC as its fully-owned subsidiary. In September 2008, SASAC designated SDIC as the trustee of China Gaoxin Investment Group Corporation.