TVB gets green light to sell minority stake in push for drama funds

The Communications Authority (CA) has approved TVB's application to sell over 8.7 million new shares to GF Global (廣發全球), as part of its effort to raise funds for new productions.

This comes as TVB said in a filing yesterday (28 May) that the net proceeds from the issue of GF subscription shares amounted to around HK$28.5m. This will be used for general corporate purposes, including working capital for the group’s drama co-production projects with mainland Chinese streaming platform partners.

TVB said while it expects to commence filming and production of 10 co-production drama titles in the second half of 2024, it is a relatively large number of titles for the group to produce within such a period. It also expects to fully utilise the net proceeds from the GF subscription before 31 December 2024.

According to TVB, the shareholding changes would not bring about any material change to the legal and beneficial ownership of the licensee.

“In approving the application, the CA is satisfied that after completion of the shareholding changes, TVB will continue to comply with all applicable regulatory requirements under the Broadcasting Ordinance (Cap. 562) and its free TV licence, and be able to honour the investment and programming commitments it has made under its licence,” the CA said in a release. 

Established in 2015, GF Global Capital is owned by GF Securities, a financial firm listed in both Hong Kong and Shenzhen that provides investment banking and wealth management services.

MARKETING-INTERACTIVE has reached out to TVB for more information.

Don’t miss: TVB and Youku expand partnership to grow entertainment market in China

Back in March, TVB Group and Alibaba's online video platform Youku expanded their partnership to meet the growing demand for entertainment content in China.

This comes after both parties signed the first comprehensive cooperation framework agreement worth RMB700 million last year, releasing the drama The QUEEN Of News (新聞女王), which became a market sensation in mainland China and Hong Kong, garnering widespread acclaim both online and offline.

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