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RELATED PARTY TRANSACTIONS
12 Months Ended
Dec. 31, 2019
RELATED PARTY TRANSACTIONS  
RELATED PARTY TRANSACTIONS

23.   RELATED PARTY TRANSACTIONS

a)  Related parties *

 

 

 

 

 

 

Name of related parties

    

Relationship with the Company

Xiaomi Communication Technology Co., Ltd., and its subsidiary, Beijing Xiaomi Mobile Software Co., Ltd. (collectively, “Xiaomi Group”) (2)

 

A group controlled by principal shareholder of the Company

Beijing Kingsoft Cloud Network Technology Co., Ltd.

(“BJ Kingsoft”) (1)

 

A company controlled by principal shareholder of the Company

Beijing Cheetah Mobile Technology Co., Ltd.

(“BJ Cheetah”) (1)

 

A company controlled by principal shareholder of the Company

Unisvnet Technology Co., Ltd. (“Unisvnet”)

 

A company controlled by controlling shareholder of the Company

Beijing Tuspark Harmonious Investment Development Co., Ltd. (“Tuspark Harmonious”)

 

A company controlled by controlling shareholder of the Company

Ziguang Financial Leasing Co., Ltd. (“Ziguang Finance Leasing”)

 

A company controlled by controlling shareholder of the Company

Qidi Bus (Beijing) Technology Co., Ltd. (“Qidi Tech”)

 

A company controlled by controlling shareholder of the Company

Dyxnet Internet Center Limited (“DIC”)

 

A related party of seller of Dermot Entities

Dyxnet Data Centre Services Limited (“DCSS”)

 

A related party of seller of Dermot Entities

WNT Technology Limited (“WNT Technology”)

 

A related party of seller of Dermot Entities

Shanghai Shibei Hi-Tech Co., Ltd. (“SH Shibei”)

 

Noncontrolling shareholder of a subsidiary

Marble Stone SH Group Limited (“Marble SH”) (4)

 

A company controlled by minority shareholder of the Company

Marble Stone Holdings Limited (“Marble Holdings”) (4)

 

A company controlled by minority shareholder of the Company

Shihua DC Investment Holdings 2 Limited (“Shihua Holdings 2”)

 

Equity investee of the Company in 2017, 2018 and wholly-owned subsidiary since August 20, 2019 (Note 4)

Shihua DC Investment Management Limited (“Shihua Investment Management”)

 

Equity investee of the Company

Shihua DC Investment Management Group Limited (“Shihua Investment Group”)

 

Equity investee of the Company

Beijing Taiji Data Tech Co., Ltd. (“Taiji”)

 

Equity investee of the Company

Beijing Chengyishidai Network Engineering Technology Co., Ltd.(“CYSD”) (3)

 

Equity investee of the Company

WiFire (Beijing) Technology Co., Ltd. (“WiFire BJ”) (3)

 

Equity investee of the Company

Beijing Fastweb Network Technology Co., Ltd. (“BJ Fastweb”) (3)

 

Equity investee of the Company

Shanghai Fawei Technology Co., Ltd. (“SH Fawei”) (3)

 

Equity investee of the Company

Wuhan Fastweb Cloud Computing Co., Ltd. (“WH Fastweb”) (3)

 

Equity investee of the Company

Beijing Bozhi Ruihai Network Technology Co., Ltd. (“BZRH”) (3)

 

Equity investee of the Company

WiFire (Shanghai) Network Technology Co., Ltd. (“SH Guotong”) (3)

 

Equity investee of the Company

Jingliang Interconnected Cloud Technology Co., Ltd. (“Jingliang Inter Cloud”)

 

Equity investee of the Company

 

*These are the related parties that have engaged in significant transactions with the Company for the years ended December 31, 2017, 2018 and 2019.

(1)

These companies and Kingsoft are ultimately controlled by the same party. Kingsoft made a significant investment in the Company in 2015.

(2)

These companies and Xiaomi are ultimately controlled by the same party. Xiaomi made a significant investment in the Company in 2015.

(3)

These entities were disposed by the Company in September 2017, included in WiFire Entities, and determined by the Company as related parties as of December 31, 2017, 2018 and 2019.

(4)

These entities are controlled by Waburg Pincus, a significant minority shareholder of the Company.

b)  Other than disclosed elsewhere, the Company had the following significant related party transactions for the years ended December 31, 2017, 2018 and 2019:

 

 

 

 

 

 

 

 

 

 

 

 

For the years ended December 31, 

 

 

2017

 

2018

 

2019

 

    

RMB

    

RMB

    

RMB

    

US$

Services provided to:

 

  

 

  

 

  

 

  

- Xiaomi Group

 

220,110

 

374,085

 

437,694

 

62,871

- Taiji

 

 —

 

13,681

 

7,899

 

1,135

- Qidi Tech

 

 —

 

 —

 

7,427

 

1,067

- BJ Kingsoft

 

8,046

 

6,281

 

3,475

 

499

- WiFire BJ

 

9,726

 

16,490

 

1,934

 

278

- BJ Cheetah

 

5,128

 

2,079

 

169

 

24

- Unisvnet

 

 —

 

1,011

 

 —

 

 —

- Others

 

3,314

 

4,493

 

1,494

 

215

Services provided by:

 

  

 

  

 

  

 

  

- CYSD

 

2,979

 

18,667

 

38,918

 

5,590

- Taiji

 

 

7,095

 

19,942

 

2,865

- Jingliang Inter Cloud

 

 —

 

3,477

 

8,829

 

1,268

- BJ Kingsoft

 

7,775

 

13,204

 

3,492

 

502

- DCSS

 

6,424

 

5,238

 

 —

 

 —

- BZRH

 

 —

 

4,239

 

 —

 

 —

- WiFire BJ

 

1,616

 

4,066

 

 —

 

 —

- Others

 

2,632

 

6,396

 

5,866

 

843

Sales of equipment to:

 

  

 

  

 

  

 

  

- BJ Fastweb

 

1,021

 

 —

 

 —

 

 —

Purchases of equipment from:

 

  

 

  

 

  

 

  

- WNT Technology

 

2,629

 

 —

 

 —

 

 —

- DIC

 

1,234

 

 —

 

 —

 

 —

Loan to:

 

  

 

  

 

  

 

  

- Taiji

 

 —

 

 —

 

1,500

 

215

- BJ Fastweb

 

20,000

 

 —

 

 —

 

 —

Interest income from loan to:

 

  

 

  

 

  

 

  

- BJ Fastweb

 

210

 

700

 

700

 

101

Lease deposit paid to:

 

  

 

  

 

 

 

  

- Ziguang Finance Leasing

 

 —

 

2,042

 

6,154

 

884

- Tuspark Harmonious

 

 —

 

11,472

 

 —

 

 —

Lease payment paid to:

 

  

 

  

 

  

 

  

- Tuspark Harmonious

 

 —

 

 —

 

68,832

 

9,887

- Ziguang Finance Leasing

 

 —

 

4,897

 

17,156

 

2,464

 

c)

The Company had the following related party balances as of December 31, 2018 and 2019:

 

 

 

 

 

 

 

 

 

 

As of December 31, 

 

 

2018

 

2019

 

    

RMB

    

RMB

    

US$

Amounts due from related parties:

 

  

 

  

 

  

Current:

 

  

 

  

 

  

-Marble SH (2)

 

 —

 

100,106

 

14,379

-Shihua Investment Group (3)

 

 —

 

82,542

 

11,856

- Xiaomi Group

 

41,159

 

39,778

 

5,714

-Marble Holdings (2)

 

 —

 

29,736

 

4,271

-Shihua Investment Management (3)

 

 —

 

27,905

 

4,008

- SH Shibei

 

9,800

 

9,800

 

1,408

- Taiji

 

13,542

 

9,499

 

1,364

-Qidi Tech

 

 —

 

1,249

 

179

- WiFire BJ (1)

 

36,578

 

 —

 

 —

- SH Fawei (1)

 

13,742

 

 —

 

 —

- WH Fastweb (1)

 

5,131

 

 —

 

 —

- Unisvnet

 

1,072

 

 —

 

 —

- BJ Kingsoft

 

982

 

 —

 

 —

- Others

 

3,440

 

1,050

 

152

 

 

125,446

 

301,665

 

43,331

Non-current:

 

  

 

  

 

  

- Tuspark Harmonious

 

11,472

 

11,863

 

1,704

- Ziguang Finance Leasing

 

2,042

 

8,195

 

1,177

- BJ Fastweb (1)

 

20,910

 

 —

 

 —

-Others

 

 —

 

596

 

86

 

 

34,424

 

20,654

 

2,967

Amounts due to related parties:

 

  

 

  

 

  

Current:

 

  

 

  

 

  

-Shihua Investment Group (3)

 

 —

 

84,021

 

12,069

- Ziguang Finance Leasing

 

8,938

 

27,160

 

3,901

-Shihua Investment Management (3)

 

 —

 

22,484

 

3,230

- Tuspark Harmonious

 

13,850

 

24,917

 

3,579

- WiFire BJ (1)

 

 —

 

6,330

 

909

- BJ Kingsoft

 

609

 

1,073

 

154

- SH Guotong (1)

 

8,135

 

 —

 

 —

- CYSD (1)

 

7,158

 

 —

 

 —

- Taiji

 

6,724

 

 —

 

 —

- BZRH (1)

 

5,088

 

 —

 

 —

- Others

 

1,826

 

950

 

137

 

 

52,328

 

166,935

 

23,979

Non-current:

 

  

 

  

 

  

- Tuspark Harmonious

 

443,622

 

698,511

 

100,335

- Ziguang Finance Leasing

 

12,527

 

47,388

 

6,807

- Shihua Holdings 2

 

48,329

 

 —

 

 —

 

 

504,478

 

745,899

 

107,142

 

(1)

As of December 31, 2019, RMB20,367 (US$2,926) of amounts due from/to WiFire Entities were offset according to the multi-party debt offset agreement signed in 2019. The remaining RMB52,142 (US$7,490) of amounts due from WiFire Entities was fully impaired considering low collectability.

(2)

Amounts due from Marble SH and Marble Holdings represented the unpaid cash consideration to the Company for acquiring the 100% equity interest in Shihua Holdings 2’s some subsidiaries (Note 4).

(3)

Amounts due from/to Shihua Investment Management and Shihua Invesetment Group were generated from the assets acquisition of Shihua Holdings 2 (Note 4).