Renrui Human Resources Technology (6919: HKG), a mainland China-based flexible staffing provider announced that it has entered into a conditional investment agreement and an exclusive strategic cooperation agreement with Xunteng Group Co., Ltd.

The company agreed to invest a total of RMB 20 million (USD 2.9 million) into Xunteng Group and will hold 15% of its shares upon completion.

The investment amount from the company will be used for the operation of the principal businesses of Xunteng Group, including but not limited to the procurement of equipment, payment of salary and recruitment fees of students for the cooperation projects with the colleges which Xunteng Group cooperates.

Xunteng Group is principally engaged in cooperatiing with colleges in China focusing on internet or electronic commerce education. Established in 2004, it generally develops courses, recruits students for the colleges, dispatches teachers to the colleges to teach and sets up BPO (business process outsourcing) service training centres in the colleges to provide training opportunities to students.

Renrui will transfer suitable BPO projects to Xunteng Group, and Xunteng Group will, under the guidance of the group, construct facilities and procure equipment for the BPO service training centres to be set up in the colleges for the operation of these BPO projects.

Xunteng Group will transfer no less than 20% of the total number of students of the colleges every year to work in the BPO service training centres in the colleges as interns, and recommend not less than 50% of the total number of graduates from the colleges to participate in the recruitment events held by the group's clients of flexible staffing services and professional recruitment services. Xunteng Group will also encourage the college students to register as members on the Xiang Recruitment Platform, Renrui’s proprietary recruitment software, for jobseeking purposes.

Renrui added that it believes that this cooperation will provide a stable source of well-trained candidates to the clients of the group's flexible staffing and professional recruitment services in order to satisfy the recruitment demands from the group's clients.