Zhitong Finance App News, China Mobile Game (00302) issued an announcement. On April 26, 2024, the company's subsidiary Shenzhen Zhongmobile Game Network Technology Co., Ltd. (Shenzhen Zhongmobile Game) signed a “Strategic Cooperation Framework Agreement” with Guangzhou Chaojing Investment Co., Ltd. (Chaojing Group). The contracting parties agreed to fully integrate the market and resources and carry out multi-level cooperation on game product research and development, game operation and promotion, game e-sports, and IP commercialization. Chaosport Group has EDG e-sports clubs, many MCN organizations, and long-term cooperative media resources (mainly covering games, e-sports hosts, e-sports players, and live streaming clubs on platforms such as Douyin, Station B, Huya, Kuaishou, Xiaohongshu, etc.), and has natural advantages and joint opportunities with the Group's game IP “Legend of Sword and Fairy”, as well as many upcoming and already launched game projects.

According to the “Strategic Cooperation Agreement”, the Group and Chaosheng Group plan to cooperate (strategic cooperation) in the following areas: combining IP resources and promotion channels such as EDG eSports Club and animation under Chaosheng Group, and the Group's game development and distribution capabilities, to jointly integrate e-sports fan traffic, expand WeChat and Douyin mini game businesses, and create new models for the commercialization and monetization of the e-sports industry; make full use of MCN organizations under Chaosheng Group and long-term cooperative media resources to promote games and jointly cultivate and build KOL and KOC exclusive to the Group's IP games The social media matrix further enhances the efficiency of game promotion and transformation; cooperates with Chao Gaming Group and its strategic cooperation in IP derivatives and offline commercial cooperation to further exploit the influence of “Legend of Sword and Fairy” IP and tap the commercial value of IP; using multiple links between Chaosheng Group's business segments and young people groups to carry out strategic cooperation in the international physical battle card development business based on the “Legend of Sword and Fairy” IP to expand local Chinese IP into the 10 billion dollar physical battle card market; the two sides jointly expand local Chinese IP into the global 10 billion dollar physical battle card market; the two sides jointly develop the EDG e-sports club under Chaojing Group The e-sports ecosystem, while promoting games, jointly develops global e-sports-related game products; establishes a game experience research institute with EDG Club, a subsidiary of Chaosport Group, to provide professional advice on games being developed by the group through the participation and collaboration of e-sports stars and anchors; Supersports Group or its related parties intend to subscribe or purchase shares in the company, and the group also intends to cooperate at the equity level with the EDG e-sports club and MCN organization under Chaosport Group to further strengthen the strategic partnership between the two parties.

According to reports, Chaosport Group is a Chinese enterprise dedicated to leading the world's future cultural and creative industry. It mainly lays out new cultural and creative businesses such as e-sports comprehensive industry centers, e-sports operations, e-sports education, animation, film and television, and IP incubation. It operates the world's top EDG e-sports clubs, which include many major domestic and foreign champions, and has influence among a wide range of young people. The Group is a leading global IP game operator. With IP as the core, it provides quality IP games to players around the world through independent research and joint research and development. The Group relies on its own advantages and accumulation in the field of game distribution and R&D, combined with its own superior IP resources, and insists on deeply cultivating the “IP Resources - Independent R&D and Joint R&D - Global Distribution - Own IP Operation - Guofeng Metaverse Platform”, which is extremely competitive.

According to the announcement, the strategic cooperation will further develop the respective professional strengths and resource advantages of the two sides. On the one hand, the Group can use Chaosheng Group's resources and experience in e-sports, media communication, fan operations, etc., to further improve the Group's game development and distribution efficiency, enrich its own IP monetization paths such as “Legend of Sword and Fairy”, and enhance the Group's business competitiveness; on the other hand, Chaojing Group will also benefit from the Group's industry resources and rich experience in game R&D, distribution and IP operation, which will help it develop its business in the game industry.