Tianzhou Culture acquired 280 million yuan of Peyu Technology, large-scale mergers and acquisitions continue to increase the game industry

Tianzhou Culture announced today that the company plans to invest 280 million yuan to acquire 51% of the equity of Pai Entertainment Technology, including 180 million yuan of its own funds to acquire 40.11% of the equity of Pai Entertainment Technology, and 100 million yuan of its own funds to increase capital to Pai Entertainment Technology.

Tianzhou Culture announced today that the company plans to invest 280 million yuan to acquire a 51% stake in Hangzhou Payu Technology Co., Ltd.(referred to as "Payu Technology"), including 180 million yuan to acquire a 40.11% stake in Payu Technology, and use its own funds to increase capital in Payu Technology.

Pai Entertainment Technology is one of the earliest Internet companies in China to focus on the distribution and operation of animation and secondary games and the pan-entertainment of IP resources. Its brand "Pinterest Games" has successfully released a number of games, such as "Warship Girl" and "Aircraft Battle Tank".

At the same time as game development, distribution and operation, Pai Entertainment Technology has laid out a high-quality all-IP product incubation platform through the "Patch Entertainment" brand, and owns mobile Internet game adaptation authorizations for many domestic original high-quality novels, comics and anime image IP such as "Baby Bee","Summer of Bubble","Zhang Xiaohe".

In the first three quarters of 2015, Pai Entertainment Technology achieved operating income of 72.78 million yuan and net profit of 16.85 million yuan. Pai Entertainment Technology promises that the sum of net profits in 2016 and 2017 will not be less than 125 million yuan.

In recent years, Tianzhou Culture has continued to increase its gaming industry through large-scale mergers and acquisitions. In 2013, it invested 1.254 billion yuan to acquire Magic Times; in December this year, Tianzhou Culture spent 1.62 billion yuan to acquire Youai Network; in addition, Tianzhou Culture has also successively invested in other game companies. The growth of the game business has become a major factor in the significant growth of Tianzhou Culture's performance. In the first three quarters of 2015, Tianzhou Culture's total operating income was 304 million yuan, and its net profit reached 116 million yuan. Among them, the game business contributed operating income of 179 million yuan and net profit of 102 million yuan.

[Original Announcement]

Tianzhou Culture: Announcement of Proposed Foreign Investment

Editor: vian