BEIJING, Jan. 22, 2018 /PRNewswire/ -- Phoenix New
Media Limited ("Phoenix New Media", "ifeng" or the "Company")
(NYSE: FENG), a leading new media company in China, today announced that its board of
directors has authorized the Company to extend the terms of two
loans previously granted to Particle Inc. ("Particle") by six
months, while the other terms and conditions remain the same. One
of the two loans with a principal amount of US$14.8 million was granted in August 2016 (the "August
2016 Loan") and will mature in August
2018 after the extension. The other loan with a principal
amount of RMB 74 million was granted
in January 2017 and will mature in
July 2018 after the extension. The
expiration date of the Company's right to convert all or a portion
of the August 2016 Loan (including
principal and interests) into Series D1 preferred shares to be
issued by Particle has also been extended to August 9, 2018.
As previously announced by the Company, pursuant to an agreement
among the Company, Particle and Long De Cheng Zhang Culture
Communication (Tianjin) Co., Ltd.
("Long De"), a company affiliated
with Beijing Culture Investment Development Group Co., Ltd., the
Company is expected to assign to Long
De or its designated affiliate the Company's rights under
the August 2016 Loan, and
Long De or its affiliate should pay
the Company approximately US$17.0
million for the assignment. The Company was informed by
Long De, however, that it has not
yet obtained necessary government approval for remitting funds
offshore to make the payment to the Company. The Company extended
the term of the August 2016 Loan as
it is uncertain how Long De will
fulfill its payment obligation to the Company and when the
assignment of the loan to Long De
can be completed. As Long De has not
been able to remit funds offshore, the proposed subscription for
Series E preferred shares and warrants of Particle by Long De or its affiliate has not been completed
either and it is uncertain when such transactions can be
completed.
Particle owns Yidian Zixun ("Yidian"), a rapidly-growing
personalized news and life-style information application in
China, which allows users to
efficiently define and explore individualized content over mobile
devices. The Company currently owns approximately 41.82% of the
total outstanding shares of Particle on an as-if converted
basis.
About Phoenix New Media Limited
Phoenix New Media Limited (NYSE: FENG) is a leading new media
company providing premium content on an integrated platform across
Internet, mobile and TV channels in China. Having originated from a leading global
Chinese language TV network based in Hong
Kong, Phoenix TV, the Company enables consumers to access
professional news and other quality information and share
user-generated content on the Internet and through their mobile
devices. Phoenix New Media's platform includes its ifeng.com
channel, consisting of its ifeng.com website and web-based game
platform, its video channel, comprised of its dedicated video
vertical and mobile video services, and its mobile channel,
including its mobile Internet website, mobile applications and
mobile value-added services.
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
announcement, as well as Phoenix New Media's strategic and
operational plans, contain forward-looking statements. Phoenix New
Media may also make written or oral forward-looking statements in
its periodic reports to the U.S. Securities and Exchange Commission
("SEC") on Forms 20-F and 6-K, 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 Phoenix New Media's beliefs and expectations, are
forward-looking statements. Forward-looking statements involve
inherent risks and uncertainties. A number of factors could cause
actual results to differ materially from those contained in any
forward-looking statement, including but not limited to the
following: the Company's goals and strategies; the Company's future
business development, financial condition and results of
operations; the expected growth of the online and mobile
advertising, online video and mobile paid service markets in
China; the Company's reliance on
online advertising and MVAS for the majority of its total revenues;
the Company's expectations regarding demand for and market
acceptance of its services; the Company's expectations regarding
the retention and strengthening of its relationships with
advertisers, partners and customers; fluctuations in the Company's
quarterly operating results; the Company's plans to enhance its
user experience, infrastructure and service offerings; the
Company's reliance on mobile operators in China to provide most of its MVAS; changes by
mobile operators in China to their
policies for MVAS; competition in its industry in China; and relevant government policies and
regulations relating to the Company. Further information regarding
these and other risks is included in the Company's filings with the
SEC, including its registration statement on Form F-1, as amended,
and its annual report on Form 20-F. All information provided in
this press release is as of the date of this press release, and
Phoenix New Media does not undertake any obligation to update any
forward-looking statement, except as required under applicable
law.
For investor and media inquiries please contact:
Phoenix New Media Limited
Nicole Shan
Email: investorrelations@ifeng.com
ICR, Inc.
Rose Zu
Tel: +1 (646) 405-4883
Email: investorrelations@ifeng.com
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SOURCE Phoenix New Media Limited