HUANXI MEDIA (01003) opened significantly higher, gaining over 14%. At the time of writing, the stock was up 14.55% to HK$0.315, with a turnover of HK$1.5246 million.
The surge follows the company's announcement of a strategic cooperation and joint venture framework agreement with PHANCY. The agreement aims to leverage HUANXI MEDIA's industry strengths in film and television with PHANCY's expertise in artificial intelligence. The collaboration will establish a strategic partnership through a joint venture platform focused on areas including film and television production, interactive entertainment, game development, and intellectual property derivative products.
Additionally, HUANXI MEDIA entered into a subscription agreement with Phancy International Limited, a wholly-owned subsidiary of PHANCY. The agreement involves the allotment of approximately 731 million new shares at HK$0.275 per share, representing about 14.30% of the enlarged share capital and raising a total of approximately HK$201 million. The proceeds are primarily intended for investment in AI-powered film and television production and general working capital.
The company also signed its first major model API service agreement with Phancy International Limited, with a total value of US$20 million (approximately HK$157 million). Fees will be calculated based on the volume of tokens consumed by the group in applying AI to film and television production. This agreement is valid for a period of two years.
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