The Industrial Bank Shanghai Branch recently handled the Lin-gang Special Area's first intellectual property pledge financing for its corporate resident, Siebenhan (Shanghai) Offshore Equipment Technology Co Ltd.

The intellectual property pledge financing service allows high-tech companies with Intellectual Property Rights to use their intellectual property as sole collateral to secure funds.

Siebenhan (Shanghai) Offshore Equipment Technology Co Ltd is a high-tech enterprise and its self-developed offshore platform lifting system – designed for the marine equipment industry -- was identified as a demonstration project by the State Oceanic Administration and obtained special funding support.

The Lin-gang Special Area branch of Fuzhou-based Industrial Bank performed a comprehensive assessment of the enterprise's operations and assets.

It invited four IP evaluation institutions to make professional assessments on the company's four invention patents. Then the bank handled the pledge for the four patents at the China National Intellectual Property Administration, before lending 5 million yuan ($772,000) to the enterprise.

The Lin-gang Special Area is a key area for cutting-edge industries such as integrated circuits, artificial intelligence, biomedicines and civil aviation.

As such, intellectual property has reportedly permeated the entire business R&D, manufacturing and services ecosystem there. The intellectual property pledge financing service is expected to help resolve the difficulties of commercializing the intellectual property of companies.