Hong Kong : Qin Jia Yuan Media Services Company Limited has announced that it has commenced operating the exclusive advertising agency rights for six LED screens currently located in Beijing, Shanghai, Guangzhou and Chengdu in the PRC on 1 December 2009, a quarter earlier than expected. QJY has acquired the exclusive advertising agency rights on nationwide outdoor LED screens broadcasting news from Xinhua News Agency for a term of eight years in November 2009 from Beijing Xin Hua Zhaoxun Culture and Media Co., Ltd. (“Xinhua Zhaoxun”). The six LED screens are located in prime locations with heavy visitor and traffic flows including Changan Avenue in Beijing, Commercial Street of Nanjing Road West in Shanghai and Xiajiu Road Cultural Square in Guangzhou.
QJY also announces that it has acquired 8% indirect equity interests in Xinhua Zhaoxun, in which Goldman Sachs Group is also one of its strategic shareholders. Xinhua Zhaoxun possesses valuable and important media resources and holds interests in the outdoor LED screens for broadcasting news exclusively provided by Xinhua News Agency, the ultimate news dissemination department in the mainland China. This means the six LED screens are currently the only outdoor media in mainland China that are allowed to broadcast daily news.
Xinhua Zhaoxun has sufficient financial resources to develop and establish a network with LED screens broadcasting news for Xinhua News Agency in the most economically developed cities in mainland China. The fact that Xinhua Zhaoxun welcomes QJY to become its shareholder shows its deep confidence in QJY’s capability as advertising agency. After QY became a shareholder, QJY will work closely with Xinhua Zhaoxun on LED screens infrastructure which should benefit the plan to expand the network of outdoor LED screens in other major cities of the mainland China.