BEIJING, Jan. 16, 2018 /PRNewswire/ -- AirMedia Group Inc.
("AirMedia" or the "Company") (Nasdaq: AMCN), an operator of
out-of-home advertising platforms in China targeting mid-to-high-end consumers as
well as a first-mover in the travel Wi-Fi market, today announced
that the Company is initiating a strategic transformation from a
traditional airport advertising company to an aviation and railway,
long-haul bus Internet services company, focusing on providing a
full range of diversified service experience and Internet services
for passengers of airlines and railways, long-haul bus.
The Company, through its subsidiary AirMedia Online Group, has
set up a joint venture, Unicom AirMedia (Beijing) Network Co., Ltd., in April 2017 with China Unicom and another
investor, to build a global network for aeronautical communication
and provide in-flight internet and provide other value-added
services. This is the first step of the transformation of the
Company and it is expected to improve the marketization of
China's aviation mobile
internet.
On January 9, 2018, China Unicom
signed a strategic cooperation agreement to jointly develop the
Belt and Road Initiative satellite communications business with
European Communication Satellite Corporation during French
President Emmanuel Macron's visit in
China. Unicom Air Net
Co.,Ltd will take in charge of the
overall upgrade of satellite communication technology and the
aviation mobile Internet operations and play an important role in
the systematic construction of satellite network communication
services. Air Esurfing Information Technology Co.,Ltd, a wholly-owned subsidiary of AirMedia
Online Group, has accomplished the technical solutions
of KU/KA dual board airborne satellite through the cooperation
with Kontron Beijing Technology Co.,Ltd and Gilate Satellite Networks Ltd.
Unicom Air Net Co.,Ltd will speed
up the establishment of domestic independent and efficient
satellite communication network systems to embrace the new
opportunities in the global satellite communications market.
Also, to realize this transformation, create new industrial
chains and upgrade businesses, AirMedia, through its wholly owned
subsidiary, Wangfan Tianxia Network Technology Co., Ltd., has
entered into an Investment Agreement (the "Agreement") on
January 15, 2018 with Beijing Lords
Technology Ltd. ("Beijing Lords, OFBank"), a leading blockchain
company in China. Beijing Lords
has obtained a USD$10 million
investment from Tsinghua Tongfang and other institutional investors
to entering the blockchain sector.
Pursuant to the Agreement, AirMedia and Beijing Lords agreed to
establish a joint venture, where AirMedia and Beijing Lords will
hold 49% and 51% equity interest upon its establishment,
respectively. AirMedia will have the right to appoint one director
to the three-member board of the joint venture. The joint
venture will focus on the application of various blockchain
products and the deployment of blockchain technology globally,
specifically including:
- Storing aviation reward points utilizing blockchain technology, aiming to allow an
exchange of airline points and tickets.
- Developing a wallet based on digital currency storage with
price information of various digital currencies, to help global
users store digital currency, make transactions and view quotes in
real time.
- The blockchain technology which ensures the fairness and
credibility of AirMedia's points exchange and storage through
distributed ledgers.
- Blockchain technology that uniquely safeguards aeronautical
publications and aeronautical media content, and provides a
solution to copyright and other intellectual property issues.
Mr. Herman Man Guo, Chairman and
Chief Executive Officer of AirMedia, stated, "Today marks a
significant milestone as we have entered into a strategic
cooperation agreement with China Unicom and step into the blockchain sector with Beijing Lords.
The combination of Beijing Lord's
blockchain technology with our
impressive customer base gives us the credibility and scale to
create a series of disruptive products based on the blockchain technology and stand apart from
the competition. Looking forward, we believe the strategic
transformation will position AirMedia well for sustainable growth
for the years to come as an industry pioneer."
About AirMedia Group Inc.
Incorporated in 2007 and headquartered in Beijing, China, AirMedia Group Inc. (AMCN) is
an operator of out-of-home advertising platforms in China targeting mid-to-high-end consumers as
well as a first-mover in the travel Wi-Fi market. AirMedia sells
advertisements on the routes operated by several Chinese airlines
and at Sinopec's service stations in China. AirMedia also has concession rights to
operate the Wi-Fi systems on trains administered by eight railway
administrative bureaus in China as
well as on many long-haul buses in China. For more information, please visit
http://www.airmedia.net.cn.
Forward-Looking Statements
This announcement contains forward-looking statements within the
meaning of the safe harbor provisions of the Private Securities
Litigation Reform Act of 1995. All statements other than statements
of historical fact in this announcement are forward-looking
statements, including but not limited to, the Company's business
strategies and initiatives as well as the Company's business plans;
the Company's future business development, results of operations
and financial condition; expected changes in the Company's revenue
and certain cost or expense items; trends and competition in
China; general economic and
business conditions in China; and
other risks detailed in the Company's filings with the Securities
and Exchange Commission. These forward-looking statements involve
known and unknown risks and uncertainties and are based on current
expectations and projections about future events and financial
trends that the Company believes may affect its financial
condition, results of operations, business strategy and financial
needs. Investors can identify these forward-looking statements by
words or phrases such as "may," "will," "expect," "anticipate,"
"aim," "estimate," "intend," "plan," "believe," "potential,"
"continue," "is/are likely to" or other similar expressions. The
Company undertakes no obligation to update forward-looking
statements to reflect subsequent occurring events or circumstances,
or changes in its expectations, except as may be required by law.
Although the Company believes that the expectations expressed in
these forward-looking statements are reasonable, it cannot assure
you that such expectations will turn out to be correct, and the
Company cautions investors that actual results may differ
materially from the anticipated results.
Company Contact:
Richard Wu
Chief Financial Officer
AirMedia Group Inc.
Tel: +86-10-8460-8678
Email: ir@ihangmei.com
Investor Contact:
Tina Xiao
President
Ascent Investor Relations LLC
Phone: +1-917-609-0333
Email: tina.xiao@ascent-ir.com
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SOURCE AirMedia Group Inc.