Huace Film and Television invested 40 million yuan in Xitian Film and Television Company to prepare for listing on the new third board

On April 18, Huace Film and Television announced that the company plans to spend 40 million yuan to acquire a 5% stake in Xitian Film and Television, a domestic artist agency.

On April 18, Huace Film and Television announced that the company plans to spend 40 million yuan to acquire a 5% stake in Shanghai Xitian Film and Television Culture Co., Ltd.(hereinafter referred to as: Xitian Film and Television), a domestic artist agency.

In fact, Xitian Film and Television is planning to list the New Third Board. According to people familiar with the matter, the first-line stars it has signed, such as Wu Xiubo, Zhang Xinyi, Lin Yongjian, and Zhang Tianai, are also expected to become a new batch of star shareholders.

Huace Film and Television Investment in Xitian Film and Television

Information shows that Xitian Film and Television was established in August 2013 and is one of the largest brokerage companies in China. Its core business is artist brokerage, film and television drama production, and film and television business expansion, and also covers copyright, script creativity, mobile Internet and other fields.

It is worth mentioning that in terms of artist brokerage business, Xitian Film and Television owns nearly 30 contracted artists including Wu Xiubo, Zhang Xinyi, Lin Yongjian, Wang Qianyuan, and Li Guangjie. In addition, Zhang Tianai, who had previously become popular with the online self-produced drama "Promotion of the Crown Princess", and Ma Li of "Happy Mahua" are also artists under it.

Huace Film and Television's announcement shows that from 2016 to 2018, the company will cooperate with Xitian Film and Television on three film and television projects, with Oyou Company providing the project source, with an investment ratio of no less than 70%. Xitian Film and Television providing artist resources, with an investment ratio of no more than 30%, and the two parties jointly produce it.

In today's capital market, the star effect itself is more like a super IP. In an era when everything starts from fans and traffic, first-line star resources can be said to be the direct tipping point of the fan economy. In the content production stage, the use of first-line celebrities highly recognized by mainstream consumer groups also plays a key role in reducing risks and anchoring benefits.

Huace Film and Television said that through investment, strengthening cooperation with Xitian Film and Television, which has scarce front-line artist resources, on the one hand, it can effectively lock in the company's SIP core value fulcrum; on the other hand, it can also further explore various innovative artist brokerage forms. The increasingly powerful chemical reaction between the fan economy. As the industry's SIP leader, Huace Film and Television now has a large-scale super IP matrix. The effective collaboration and support of the above stars is undoubtedly a strong combination.

Xitian Film and Television is preparing to be listed on the New Third Board.

In fact, Huace Film and Television is not the first to invest in Xitian Film and Television. In early April, Enlight Media also invested 80 million yuan to subscribe for a 10% stake in the latter.

According to a person familiar with the matter told a reporter from Securities Daily that Xitian Film and Television is preparing to list on the New Third Board. The current round of financing is a Pre-IPO before listing."Xitian Film and Television is expected to apply for listing in 2017, and Wu Xiubo, Zhang Xinyi, Zhang Tianai and other celebrities also serve as star shareholders and enjoy some of the company's original shares. At present, the specific number of shares cannot be disclosed, but it is certain that a large wave of new star shareholders will appear by then."

In this regard, some industry insiders said that first-line star resources themselves not only mean traffic entrances, but also mean multiple monetization channels and the SIP product matrix that came into being. In addition to its strong lineup of first-line artists, Xitian Films also has a large number of head IP reserves. "Whether it is Huace Film and Television or Enlight Media, there will be broad space for cooperation with Xitian in the entire industry chain."

Editor: vian