Related News
Huayi Brothers shares soar after Alibaba, Tencent investment
Online Edition
SHARES of Huayi Brothers Media Corp jumped the daily limit of 10 percent today as it resumed trading after being suspended for over two months, following announcement that Chinese Internet giants and other institutional investors have subscribed to its shares to drive synergies between Internet and entertainment industries.
China's e-commerce giant Alibaba and social media conglomerate Tencent will each hold 8.08 percent of Huayi Brother's shares after the private placement and will be the second-biggest shareholders in Huayi, after senior Huayi executives.
Huayi Brothers raised 3.6 billion yuan (US$585 million) by selling 145 million new shares, and plans to use the capital to fund new film production and repay debts, according to a filing to Shanghai Stock Exchange today.
Alibaba's film division will be co-producing and co-distributing five works within the next three years.
The film production house will also strengthen collaboration with the e-commerce company in sectors such as online ticket sales, develop derivative products as well as expand distribution channel on smartphones and smart TV sets.
Huayi Brothers will also have privileged rights to adapt and produce film and television plays based on the online gaming and online literature works owned by Tencent.
Tencent acquired 4.6 percent stake of Huayi Brothers in 2011, allowing it to capitalize on the growing demand for high quality films and online video.
Hongyuan Securities put "buy" rating on the stock, adding that Huayi Brothers' deepening collaboration with Internet giants could lift its core competence in e-commerce, online entertainment and movie business.
- About Us
- |
- Terms of Use
- |
-
RSS - |
- Privacy Policy
- |
- Contact Us
- |
- Shanghai Call Center: 962288
- |
- Tip-off hotline: 52920043
- 沪ICP证：沪ICP备05050403号-1
- |
- 互联网新闻信息服务许可证：31120180004
- |
- 网络视听许可证：0909346
- |
- 广播电视节目制作许可证：沪字第354号
- |
- 增值电信业务经营许可证：沪B2-20120012
Copyright © 1999- Shanghai Daily. All rights reserved.Preferably viewed with Internet Explorer 8 or newer browsers.
