SHANGHAI, China, April 23 /Xinhua-PRNewswire/ -- The9 Limited (Nasdaq: NCTY) (“The9”), a leading online game operator in China, today announced an equity investment in G10 Entertainment Corp. (“G10”), a leading game developer in Korea. Under the terms of the investment, The9 has acquired a minority stake in G10 in exchange for a cash investment of approximately US$38 million.
Mr. Jun Zhu, The9’s Chairman and Chief Executive Officer, commented: “G10 Entertainment is a leading game developer, especially in the advanced casual game arena. Its Audition game franchise enjoys high popularity and a strong user base in China. The9’s equity investment in G10 will strengthen the existing partnership between the two companies and further motivate G10 to provide the best support to The9’s operation of Audition 2 in mainland China.”
Mr. Kee Young Kim, the Chief Executive Officer of G10, said, “We are very excited that The9 becomes one of our key investors as we see this equity infusion as a recognition of G10’s achievements in developing games and creating entertainment content. The9’s outstanding game operation expertise will be a huge advantage in bringing G10’s products to the growing Chinese online game market. We also look forward to learning from The9’s valuable experience gleaned from the day-to-day operation in the local market, and integrating the ideas and suggestions from The9 into our game development process. Our people and teams at G10 are empowered to continue delivering high-quality game products and providing our best support to Audition 2, our prize product to be operated by The9 in mainland China.”
About The9 Limited
The9 Limited is a leading online game operator in China. The9’s business is primarily focused on operating and developing high-quality games for the Chinese online game market. The9 directly or through affiliates operates licensed MMORPGs, consisting of MU(R), Blizzard Entertainment(R)’s World of Warcraft(R), Soul of The Ultimate Nation(TM), Granado Espada, and its first proprietary MMORPG, Joyful Journey West(TM), in mainland China. It has also obtained exclusive licenses to operate additional MMORPGs and advanced casual games in mainland China, including Hellgate: London, Ragnarok Online 2, Emil Chronicle Online, Huxley(TM), FIFA Online 2, Audition 2, Field of Honor and Audition. In addition, The9 is also developing various proprietary games, including Warriors of Fate Online(TM) and Fantastic Melody Online(TM).
About G10 Entertainment
G10 Entertainment Corp. is a leading developer of interactive, community-based online games in Korea. G10’s online games provide users with an online platform for self-expression and social interaction through playing captivating and entertaining games. G10’s strong creative game design, development expertise and experience in virtual community management have enabled it to frequently introduce new features and functionality that improve the appeal of its virtual community and enhance user experience. G10 directly or through its subsidiaries develops a number of popular online games, including Audition and Audition 2. It currently has eight other online games in development that it plans to release in the near future.
Safe Harbor Statement
This announcement contains forward-looking statements. These statements are made under the “safe harbor” provisions of the U.S. Private Securities Litigation Reform Act of 1995. These forward-looking statements can be identified by terminology such as “will,” “expects,” “anticipates,” “future,” “intends,” “plans,” “believes,” “estimates” and similar statements. Among other things, the business outlook and quotations from management in this press release contain forward-looking statements. The9 may also make written or oral forward-looking statements in its periodic reports to the U.S. Securities and Exchange Commission on Forms 20-F and 6-K, etc., in its annual report to shareholders, in press releases and other written materials and in oral statements made by its officers, directors or employees to third parties. Statements that are not historical facts, including statements about The9’s beliefs and expectations, are forward-looking statements. Forward-looking statements involve inherent risks and uncertainties. A number of important factors could cause actual results to differ materially from those contained in any forward-looking statement. Potential risks and uncertainties include, but are not limited to, The9’s limited operating history as an online game operator, political and economic policies of the Chinese government, the laws and regulations governing the online game industry, information disseminated over the Internet and Internet content providers in China, intensified government regulation of Internet cafes, The9’s ability to retain existing players and attract new players, license, develop or acquire additional online games that are appealing to users, anticipate and adapt to changing consumer preferences and respond to competitive market conditions, and other risks and uncertainties outlined in The9’s filings with the U.S. Securities and Exchange Commission, including its annual reports on Form 20-F. The9 does not undertake any obligation to update any forward-looking statement, except as required under applicable law.
