Radio and Television Media's mobile new media ecosystem takes shape with expected annual profits of nearly 1 billion yuan

In the past six months, Radio and Television Media has taken action twice, making continuous arrangements in the mobile Internet advertising platform and content fields. It is a leader among listed companies in the radio and television industry in Shanghai and Shenzhen stock markets with unprecedented strength. Its mobile Internet new media business ecosystem has taken shape.

Radio and Television Media, which had suspended trading for more than five months, issued an announcement on November 12, disclosing the revised report on share issuance, cash payment and matching fund raising based on feedback from the Shenzhen Stock Exchange. It also announced that trading would resume from the market opening on November 13.

The announcement shows that Radio and Television Media acquired 79.25% equity of Chengdu Guqiang Technology Co., Ltd.(referred to as "Shuanshu.com") and 80% equity of Beijing Zhangkuo Mobile Media Technology Co., Ltd.(referred to as "Anwo Media") by issuing shares and paying cash, and acquired 30% equity of Shanghai Jiuzhirun Information Technology Co., Ltd.(known as "Jiuyou.com")(referred to as "Jiuzhirun"). At the same time, the matching funds raised no more than 2.138 billion yuan.

This is Radio and Television Media's second major acquisition in the Internet industry chain since it suspended trading on May 28. It has launched twice in the past six months, and has deployed multiple deployments in the mobile Internet advertising platform and content fields. It is a leader among listed companies in the radio and television industry in Shanghai and Shenzhen stock markets with unprecedented strength. Its mobile Internet new media business ecosystem has taken shape.

Radio and Television Media has joined eight major Internet companies

as the "No. 1 share of China's media." Radio and Television Media has bravely taken the lead since its birth. 17 years ago, it pioneered the launch of the broadcasting and television industry with its courage to be the first to go public; Today, 17 years later, Radio and Television Media has made a series of acquisitions of 8 companies with a total scale of more than 3.6 billion yuan, and quickly entered the mobile Internet and the Internet of Things, leading the trend of strategic transformation and upgrading.

In 2014, Radio and Television Media took a small step and invested and acquired part of the equity of Guangzhou Yifeng (Zhidian Media) and Jiangsu Majangyou, opening the strategic layout of the Internet new media industry.

In May this year, after the initial victory, Radio and Television Media quietly suspended trading. Just one month later, it announced the acquisition of four Internet companies: Jiuzhi Tianxia, Yikesqi, Jinji and Shanghai Jiuzhirun (Jiuyou.com). Their businesses cover mobile advertising and digital marketing, mobile audio, mobile information, mobile search and other media services and online game business, and the new media landscape is gradually becoming prominent.

On October 26, Radio and Television Media made another effort: it announced the acquisition of 80% of Anwo Media, 79.25% of Shuanyin. com and the remaining shares of Jiuzhirun.

Adwo Media (Adwo) is the leader in the domestic mobile advertising industry, with 15 patents and 18 software copyrights. It relies on rich media resources and mobile Internet marketing creative capabilities to provide customers with mobile Internet advertising services.

According to a consulting report by Analysys International, Anwar Media ranks first in the industry in terms of mobile advertising platform service capabilities and comprehensive innovation capabilities.

Shuanshu.com is mainly engaged in online reading, wireless reading, and high-quality book publishing. It owns platforms such as Shuanshu.com and Feiku.com. It has more than 3 million registered users, 72,000 resident authors, and more than 100,000 signed works. It has 100,000 independent daily visits. It is currently the leading provider of original literary content in China.

Jiuzhirun is deeply involved in the operation and research and development of online games. The products it represents such as "Dance Team","Legend of the Sword and Fairy Online" and the newly launched game "Mobile Suit Dare OL", which once topped the list of major games.

While making frequent moves in the Internet field, Radio and Television Media's traditional cable network business is also rapidly iteratively upgrading. It has joined hands with Alibaba and Yinji Media to create China's first smart set-top box equipped with 4K HD and home WIFI."Home Box" as a symbol, setting off the "living room revolution" of the home Internet.

The cooperation between Radio and Television Media and Perception Technology, which has the world's leading Internet of Things technology, has also officially set sail. The Shanghai Perception Industrial Company, jointly established by the two parties, has completed its registration and opened a large market for Internet of Things applications.

The resource integration effect of the mobile Internet ecosystem is significant.

When Radio and Television Media's merger and reorganization came to an end and announced the resumption of trading, its far-sighted strategic layout and clear tactical steps have also attracted the attention of the industry. The mobile Internet ecosystem of "channel + platform + content" has already taken shape. More importantly, the resource synergy effect within the ecosystem will be fully exerted.

It is understood that Zhijian Media and Ma Shangyou, which were acquired in August 2014, have carried out in-depth cooperation with Radio and Television Media's original traditional advertising agencies, film and television dramas, tourism and other sectors to achieve collaborative operations in content distribution, product promotion, advertising and media resource sharing, etc., with remarkable results.

On the basis of the acquisition of four Internet companies in June: Jiuzhi Tianxia, Yikesi, Jinji and Shanghai Jiuzhirun, Radio and Television Media has newly acquired Anwo Media, a leading mobile Internet advertising company, and content IP operations and resources The enterprise-Shuanshu.com has extended its business scope to mobile application distribution and promotion, mobile Internet advertising, mobile audio, online games and other fields.

"In terms of 'platform', Radio and Television Media has built a mobile Internet system covering' brand advertising, effects marketing, mobile media, and application distribution'; in terms of 'content',' video programs, online reading, mobile audio, game R & D operations 'and so on are exciting and support each other."

Yuan Chuxian, deputy general manager in charge of investment business of Radio and Television Media, told reporters.

The integration and collaboration between traditional media and new media businesses is particularly significant, which will also be the focus of Radio and Television Media. "In the past two years of investment and mergers, what we have been thinking most about is resource coordination and sharing, and the ecosystem we have built so far has achieved good synergy. For example, our traditional advertising business has a large number of brand advertisers and media resources, which can fully interact and share with newly acquired mobile Internet advertising platform companies; for example, the content IP of the literary websites we have acquired can realize 'one resource, multiple development'. Online novels can be developed into film and television dramas and game products, film and television dramas can also be developed into games, and in turn games can also be developed into film and television dramas. On the other hand,'content products' can be promoted through 'platforms', and 'platforms' can also be promoted through 'content'. This can be fully explored in the mobile Internet ecosystem, and the resulting aggregation reaction can be fully imagined." Yuan Chuxian said with confidence.

In the newly launched radio and television media system, traditional media and new Internet media will share users, channels, platforms and content to give full play to the synergy effect; its traditional cable network, advertising, movies, TV drama services, etc. will also be integrated with mobile Internet advertising, online literature, online games, etc. to achieve a perfect combination.

Leveraging the acquisition of eight major Internet companies and cooperation with Alibaba and Perception Technology, Radio and Television Media has completed the layout of "channels + platforms + content" for new Internet media, successfully transforming into a new media group that integrates traditional media and new media, and interacts online and offline. It has perfectly built a new media ecosystem.

New media accounts for half of the country, increasing profits by hundreds of millions a year

. After 17 years of hard work, Radio and Television Media has developed into a large-scale cultural media listed company with its main business covering the four major sectors of cable network, media content, investment management, and tourism hotels. The operating region focuses on Changsha, Beijing, Shanghai, Guangzhou, and Shenzhen and radiates across the country.

This round of serial mergers and acquisitions will create another important sector-the mobile new media sector, building diversified media platforms such as mobile Internet platforms, content operation ecosystems, and family interactive entertainment ecosystems to form a mobile Internet circular ecosystem, thereby realizing the transformation from traditional cable networks and advertising agencies to the mobile Internet field, all businesses are growing at a high speed in parallel.

The 2015 third quarterly report disclosed by Radio and Television Media showed that the net profit attributable to shareholders of the parent company was 343 million yuan in the first three quarters. It is worth noting that this report does not incorporate these Internet companies acquired this year. Based on the fact that these companies are leading or even leading in the industry in the segment, and the synergy effects released by the new media ecosystem, industry insiders analyze that their profitability is promising.

Based on the current performance of these newly acquired companies, it will add no less than 300 million yuan in annual profits to Radio and Television Media. This also means that in 2015 alone, serial mergers and acquisitions will add profits close to its own size to Radio and Television Media.

If the performance betting commitments signed by Radio and Television Media and these companies are followed, the annual profit for Radio and Television Media can be increased by as much as 470 million yuan. Ruzhirun promises that from 2015 to 2017, the company's net profit will be no less than 130 million yuan, 156 million yuan and 188 million yuan; Anwo Media promises that the net profit from 2015-2018 will be no less than 30 million yuan, 50 million yuan, 70 million yuan and 100 million yuan.

Some securities analysts believe that based on the 2015 third quarterly report, Radio and Television Media's original business profit for the whole year this year is roughly 450 million yuan. After the completion of this transaction, the pattern of new mergers and acquisitions in the mobile new media sector accounting for half of the country will become increasingly obvious. It is estimated that within 2-3 years, the combined net profit of Radio and Television Media is expected to be nearly 1 billion yuan.

Editor: vian