Aofei Entertainment will increase its investment by 4.5 billion yuan, with 22 films accounting for 30%

In the next three years, 119 projects will be invested, including 22 movies, 25 games, 8 TV series, 19 online series and 45 animations. Among them, 22 film projects will invest the most in IP project construction, accounting for 30%.

Aofei Entertainment announced on April 9 that it plans to raise no more than 4.5 billion yuan in funds from no more than 10 specific investors, of which 2.51 billion yuan will be used for IP resource construction projects and 690 million yuan will be used for IP management and operation system construction projects, 1.3 billion yuan will be used to supplement working capital. The fixed increase of 4.5 billion yuan will be fully deployed in pan-entertainment branches such as film and television, games, online dramas, and animation. In the next three years, 119 projects will be invested, including 22 movies, 25 games, 8 TV series, 19 online dramas and 45 animations, of which 22 film projects have the largest investment in IP project construction, accounting for 30%. In terms of online dramas, Aofei Entertainment revealed in 2016 that currently include "Zhen-Soul Street","Duan Nao","Kaifeng Strange Talks" and "Peach Blossom" based on girl comics. Relying on the troika of "content is king, Internet, and internationalization", the company strives to build Aofei Entertainment into a "new generation of Disney" with both China characteristics and a global perspective.

At the same time, the company's landscape in the VR industry is fully demonstrated. In just a few months, the company has successively announced investment in Nuiten.(Top motion capture equipment company, technology provider of "Seeking Dragon" and "Game of Thrones"), Lexang Technology (the number one brand of VR headsets in China), TVR (the leading VR game production team in China), Zelishi (Virtual Idol Operation/VR special effects and sound effects production), Interactive Vision (leading Panorama Vision Company), all targets are top companies in the VR industry, demonstrating the pattern and execution of the Aofei team. The company's current VR business matrix covers IP, content, hardware (input + output equipment) and other fields. The forward-looking and integrity of the layout are far ahead of the industry. The VR pan-entertainment ecosystem has begun to show its brilliance.

The

company has launched the "IP+ Intelligence" strategic concept. Among its existing business, the total revenue related to Super Flying in 2015, including toys, films and television, licensing, etc., was close to 200 million. Established a joint venture with Hasbro, the first toy product jointly created, Armor Warrior Cool Base Building Blocks, which focuses on "IP+ Puzzle", has been launched in China; the international version of "Firepower Boy" was jointly launched on November 13, 2015. Broadcast in the United States, derivative toys will be launched in the United States. Through multiple forms of layout and joint development such as movies, TV series, games, animations, and online dramas, the company can incubate and cultivate low-profile IPs on the one hand, so that they can continuously accumulate a fan base and gradually transition to high-quality IPs for subsequent development Lay the foundation; On the other hand, the joint development model can fully tap the value of high-quality IP that already has high popularity and market appeal, create a super IP with a wider audience, and use its increasing value monetization capabilities to obtain higher market dividends.

According to public information, the company's IP resources have been transferred in the multicultural entertainment industry fields such as toys, movies, animation, cartoons, games, TV dramas, and online dramas, with an average turnover rate of 32.5%. Among them, some of the company's high-quality IPs represented by "Balala Little Devil Fairy" and "Pleasant Goat and Big Wolf" have formed the entire industry chain operation structure such as real-life dramas, cartoons, big movies, comic publishing, toy derivatives, TV series, and online dramas. The company has accumulated rich resources and valuable experience in the joint development of entertainment and cultural products with IP as its core. As excellent IP has become a core element in the development of the cultural industry, the cultural industry has entered the era of "content is king".

Source: Yien.com, Research Department of China International Capital Corporation

Note: The data in the article are all from the company's announcement and China International Capital Corporation Internet Media, compiled based on China International Capital Corporation Internet Media data.

Editor: yvonne