AHS is a private company founded by Mr. Wenjun Sun, and Mr. Xuefeng Chen. The Company’s primary shareholders include Mr. Wenjun, and Mr. Xuefeng Chen, and Morningside Group, with the rest of shares held by a few individuals as minority shareholders.

IFC plans to invest up to $5.0 million in Series B preferred shares out of an up to $8.0 million investment round. The existing investor, Morningside will co-invest up to $3.0 million.

The invested proceeds will be used for capital expenditures related to expansion, marketing and sales, as well as strategic partnerships.

5.0 million (USD)

Product Line	IFC Investment (million USD)
Risk Management
Guarantee
Loan
Equity	5.0

* These investment figures are indicative

The Company is currently incorporated in Cayman and has office in Shanghai. Its operation covers other cities in China, including Beijing and Shenzhen.

- Challenges: Climate Smart investments are a strategic priority and IFC Management has committed that such investments will reach 20% of long-term investments by FY15. To reach this target, IFC is encouraging innovative approaches with a focus on sectors and markets with the potential to deliver significant climate mitigation impact and scale. E-Waste is the fastest growing waste stream in the world and currently accounts for 2-5% of total solid waste; however, it accounts for 70% of toxic waste. An estimated 40 million tons of e-waste is produced every year, growing at the rate of 40% every year. A United Nations report projects that by 2020, e-waste from computers would dramatically increase by 400% from 2007 levels in China and by 500% in India.
- Opportunities: The estimated market value of E-Waste management was $11.8 billion last year and is expected to grow to $44.3 billion by 2020. In addition to the positive environmental impact in proper E-Waste management, proper collection and recycling of e-waste to extract metals makes economic sense as natural resources are scarce, finite, and costly to extract. AHS provides a transparent and trusted platform to collect and distribute the e-waste and this platform is expected to help double the rate of e-waste recycling in 2-3 years.

- Long term financial partner for the Company: AHS will benefit from IFC''s patient capital and flexibility in structuring and investment products. IFC can offer loans and assistance in obtaining support from local banks as AHS expands in the value chain. IFC''s support should help the Company reach a level of scalability that will speed the rate of e-waste recycling in China.
- Knowledge transfer: IFC can offer its knowledge and experience in the e-waste recycling sector and the work IFC Advisory has done in India, called Clean E-India Initiative, with the goal to establish and integrated E-Waste Takeback Program to collect, manage and recycle in a responsible and sustainable manner. As AHS is focused on collection while Attero is on recycling, and the clean e-waste initiatives target the entire value chain, IFC is in a position to connect these two companies to build synergies and seize opportunities.
- Stamp of Approval : AHS'' priority is to increase traffic to use its online platform to increase the collection of 2nd hand electronics, which requires it to build trust and branding with consumers, partners in e-commerce, mobile phone carriers, electronic stores, and downstream businesses, including government sanctioned e-waste recyclers. IFC''s reputation and experience in China and globally as the leading financial institutions in sustainability will provide credibility to a young Chinese company.

This is a Category B project according to IFC Procedure for Environmental and Social Review of Projects.

Please refer to the related Environmental and Social Review Summary (ESRS) document for this project.

Please refer to the Environmental and Social Action Plan (ESAP) tab in the related Environmental and Social Review Summary (ESRS) document for this project.