An intellectual property deal is carried out between an Anhui-based high-tech company and Guoyuan Trust Oct 19. The Hefei National High-tech Industry Development Zone financially supported the transaction. [Photo from WeChat account hefeigaoxinfabu]

Intellectual property (IP) assets can now be recognized as key businesses in East China's Anhui province, as three local high-tech companies signed agreements with a trust entity Oct 19.

A total of 20 million yuan ($2.9 million) was raised, empowering the companies to keep their IP ownerships while transferring their two-year income rights to Guoyuan Trust. 

The first IP transaction undertaken in China, the deal also marked Anhui's leadership in such practices. 

Liu Shengjun, head of USTC-GZ Information Technology Co, said his company received financing of 10 million yuan after exchanging the income rights for the patents of four inventions. 

Liu said fixed assets used to be the exclusive "pass" of banks when issuing financial support. Meanwhile, it was also the soft spot of many small and medium-sized high-tech companies. 

"The new mode has offered us a new possibility of turning intangible assets into the profitable way," Liu added. 

The deals were carried out at the Hefei National High-tech Industry Development Zone, where throngs of innovative people cluster amid abundant resources. 

Pilot transactions have actually been conducted at the zone since 2016, while a subsequent one-year investigation and preparation helped ensure the policy enjoy a smooth start.