China News Media plans to increase revenue by nearly 4 billion to expand Internet TV and other services



China News Media disclosed today (August 31) the foreign exchange plan for a fixed increase plan, with no less than RMB 16.18 per share, no more than 242 million shares in non-public offerings to no more than 10 specific targets, and the total amount of funds raised will not exceed 3.915 billion. Yuan is used for mobile video projects, Internet TV projects, and drama production and procurement projects. among them:

The mobile video project is planned to invest a total of 1.076 billion yuan, including a 38% stake in the transferee Guanghuaping and increase its capital (0.76 billion yuan), set up Huawen Zhiyun and increase its capital (1 billion yuan). The main business of Guoguang Huaping is the operation of the mobile video cloud, which mainly includes platform operation and maintenance, customer service, etc. After the acquisition, the company's mobile video service can be expanded to Internet Wi-Fi users. Huawen Zhiyun's main business is the implementation of a mobile video cloud network.

The Internet TV project is planned to invest RMB 1.2134 billion, including the transfer of 30% equity of Global Zhida and increase its capital (1.0134 billion yuan) and increase the capital of the Guangdong side (200 million yuan). Global Zhida’s main business is the research and development and sales of “CAN” Internet TV terminal products and other supporting terminal products. The acquisition aims to expand the company’s smart TV business. The Guangdong side is an Internet platform operating company jointly invested by Guoguang Holdings, Huawen Media and Heyi Information, which is mainly engaged in the construction of CIBN Internet TV platform and the establishment of industrial ecology. China Guangdong has an Internet TV license, which provides a good content platform for the company's Internet TV terminals.

The drama production and procurement project plans to invest 1.626 billion yuan, including the establishment of a joint venture with UPM Buller and a capital increase of 920 million yuan; the establishment of a joint venture with Hairun Television and a capital increase (500 million yuan) and the establishment of Dance Digital The joint venture company will increase its capital (206 million yuan). Among them, Hairun Film and Television is one of the largest private film and television production companies in China with an average annual production of more than 600 dramas; Premier Pengle is a leading domestic provider of Internet TV operation services; Wuzhi Digital is an OEM company. And animation animation IP incubates its main business animation production company.

The company will adapt to the development trend of the industry's "Internet +" and plan to make full use of the advantages of "Internet TV" and "Mobile TV" license resources and capital markets, and raise funds through this non-public offering to invest in "mobile video projects." The "Internet TV Project" and "TV drama production and procurement project" will create "Internet Video Life Circle" for users, making it possible to enjoy excellent video content and excellent performance both in mobile and home environments. Audiovisual experience, enjoy the company's good video media services. After the completion of this fixed increase, the company can enrich the service content, improve the service system, improve business performance, and strengthen market influence, so as to effectively promote the company's sustainable development.


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