CNinsure Announces Expansion (CISG)

CNinsure Inc. CISG, today announced that it has signed a joint venture agreement with Shanghai Puyi Investment Consulting Co Limited to target the wealth management market in China. The joint venture, to be named Fanhua Puyi Investment Management Co., Limited, will focus on offering independent investment research and wealth management services to both institutions and individuals. It is expected to be established in the fourth quarter of 2010. According to the agreement, CNinsure will invest RMB18 million to take 19.48% equity interest in Fanhua Puyi. The total capital will be injected in the joint venture in installments within two years. CNinsure is entitled to gradually increase its shareholdings in Fanhua Puyi when its business becomes more mature.