China Zhongji Investment completed a targeted investment in "Aofei Entertainment" through a private placement.
Recently, China Zhongji Investment completed a targeted investment in Alpha Animation & Entertainment Co., Ltd. (hereinafter referred to as "Alpha Animation" or "the Company," stock code: 002292.SZ). The funds raised from this targeted increase will be used for toy product expansion projects, infant and child product expansion projects, Alpha Joy World amusement park network construction projects, and omni-channel digital operation platform construction projects.
As a leading domestic animation company in China, Alpha Animation has been committed to building an animation and cultural industry ecosystem centered on IPs since its listing. It has developed into an "IP + full industrial chain" operation platform integrating businesses such as comics, animation, licensing, media, toys, infant and child products, games, and real-scene entertainment. The company has accumulated numerous well-known IPs, such as Pleasant Goat and Big Big Wolf, Super Wings, Clever Pets, Beeken Bear, Armor Hero, Balala the Fairies, and Soul Land, with audiences covering infants, toddlers, and K12+ groups. After more than 20 years of development, Alpha Animation has established high-quality and stable strategic partnerships in content production, image licensing, product R&D, and upstream and downstream channels. The company adheres to a "1+3" strategy of content being king, focusing on high-quality products, digitalization, and internationalization, thereby strengthening the competitiveness of its core IP ecosystem and continuously improving the monetization ability of its core industries. In terms of IP development, the company continuously creates high-quality IPs through its more than 10 original animation studios, including Original Power and Wolf Smoke Animation, and the "YoQi" original Chinese comic platform; in terms of amplifying IP brand value, it continuously releases high-quality animated series and feature films, achieving comprehensive media coverage through television media, new media platforms, and cinemas, consolidating the competitiveness of its core IP ecosystem; in terms of IP derivative businesses, the company has three major sectors: the maternal and child field—Babytrend and Aobei brands operate both domestically and internationally; the toy field—Audi Double Diamond and Wise Bricks; and the theme business field—Alpha Joy World and indoor and outdoor amusement parks. Wu Fushun, Partner and Managing Director of China Zhongji Investment, said that Alpha Animation, as a leading domestic animation company, is positioned as an IP + full industrial chain operator, making it unique in the industry. According to the Global 150 Licensing Companies ranking published by Global Licensing magazine, Alpha Animation ranked 68th in 2019. Last year, the company upgraded its BabyTrend and Aobei brands in the leading maternal and child brand sector and actively launched blind box business. The company has adopted multiple measures to consolidate the profitability of its main business, and is expected to see its performance recover and improve under the normalized epidemic situation. In addition, comprehensive equity incentives for middle and senior management and the professionalization of management may enhance the company's development vitality.
