(Yicai Global) Sept. 19 -- Linzhi Tencent, an equity investment company under the internet giant Tencent Holdings Ltd. [HK:0700], will participate in information technology company Kingdom Wealth Nanjing Technology's capital increase and share expansion to hold an 8 percent stake in the company.

Parties concerned have signed a deal on capital increase and share expansion yesterday, according to a statement made by Shenzhen Kingdom Sci-Tech [SHA:600446], parent company of Kingdom Wealth.

After the deal closes, Shenzhen Kingdom Sci-Tech's stake in Kingdom Wealth Nanjing will fall from 60 percent to 51 percent but it will remain as a controlling shareholder, while Linzhi Tencent will hold an 8 percent stake, the statement said.

The deal will facilitate Kingdom Sci-Tech's sustainable development and enhance its long-term competitiveness, it said.