By Jon Russell
Here’s a unique approach to Western companies doing business in China. Today, Evernote — the U.S. note-making service — span out its China-based unit into an independent entity with “full autonomy” over its business and services.
Evernote introduced its Yinxiang Biji China-based service in 2012, but now it is transitioning to a minority shareholder with the Chinese management team taking day-to-day control. As part of its move to independence, Yinxiang Biji has raised an undisclosed Series A round from the Sequoia CBC Cross-border Digital Industry Fund.
The terms are not disclosed, but Raymond Tang, CEO of Yinxiang Biji, said ownership of the business is split roughly equally between Evernote, the Chinese investors and the startup’s management team — while Yinxiang Biji itself has raised “several hundred million RMB.” (For comparison, 100 million RMB is roughly $15 million.)
Evernote and Yinxiang Biji have inked a two-year deal that will see them cross-license IP, and Tang and Evernote CMO Andrew Malcolm told TechCrunch in an interview that the duo will continue to work closely. The IP deal could also be extended, according to Malcolm, who added that the spin-out has been a move that …read more
Source: Tech Crunch