BEIJING, Sept. 17, 2019 /PRNewswire/ -- iQIYI,
Inc. (NASDAQ: IQ) ("iQIYI" or the "Company"), an
innovative market-leading online entertainment service
in China, today announced that the company's "CITIC Securities
- iQIYI Intellectual Property Supply Chain Finance Asset-backed
Support Plan" (the "Plan") was approved by the Shanghai Stock
Exchange ("SSE") for a RMB 3 billion
shelf offering of a supply chain finance asset-backed security
product. The underlying assets involved are IP-related
transactions, making this the first ABS shelf offering of
intellectual property supply chain that is approved in China.
This marks iQIYI's second intellectual property supply chain
finance asset-backed securitization on the SSE following an initial
issuance of RMB 470 million in
December 2018, which reflects the
recognition of the market for the potential of high-quality film
and television content. iQIYI's efforts in asset-backed
securitization represents a big step forward for China's entertainment industry as it promotes
the sustainable development of the industry by increasing the
monetization capabilities of intangible assets such as content
intellectual property. As China's leading online entertainment
service, iQIYI's business model has evolved to a comprehensive
entertainment ecosystem that offers users with services such as
e-commerce, gaming, ticket service among many. This unique "Apple
Tree" business model enables iQIYI to discover greater value
of intellectual properties which play an instrumental role in
enhancing the company's monetization capabilities.
The Plan not only broadens iQIYI's own financing channels, but
also signifies the overall optimization of the industry's capital
chain. The issuance of the asset-backed securities will accelerate
the flow rate of funds in the entire industry as it evenly spreads
the risk and allows partner production enterprises to get their
investment back in a shorter period of time. This enables partner production companies to
continuously produce new quality content throughout the
cycle.
By demonstrating how the integration of intellectual property
and financial innovation can open up a new path in optimizing the
value of intangible assets, the Plan will be beneficial to the
stakeholders including platforms, content and investors, as it
serves as an example of a healthier financial model for the content
industry and an innovative solution to achieve synergies among
partners within the entertainment industry.
About iQIYI,
Inc.
iQIYI, Inc. is an innovative market-leading online entertainment
service in China. Its corporate
DNA combines creative talent with technology, fostering an
environment for continuous innovation and the production of
blockbuster content. iQIYI's platform features highly popular
original content, as well as a comprehensive library of other
professionally-produced content, partner-generated content and
user-generated content. The Company distinguishes itself in the
online entertainment industry by its leading technology platform
powered by advanced AI, big data analytics and other core
proprietary technologies. iQIYI attracts a massive user base with
tremendous user engagement, and has developed a diversified
monetization model including membership services, online
advertising services, content distribution, live broadcasting,
online games, IP licensing, online literature and e-commerce.
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SOURCE iQIYI, Inc.