China Digital TV and Tongda Venture co-invest in China digital TV fundFriday, May 29th, 2015
China Digital TV and Tongda Venture Co-invest in Fund Targeting Digital Radio and Television Investments
BEIJING — China Digital TV Holding Co., Ltd. (NYSE: STV) (“China Digital TV” or the “Company”), the leading provider of cloud-based application platforms and conditional access (“CA”) systems which enable China’s digital cable television market to offer and secure diversified content services, and Shanghai Tongda Venture Capital Co., Ltd. (“Tongda Venture”) (SSE: 600647), a company listed on the Shanghai Stock Exchange to which the Company will sell a portion of its assets to in an ongoing transaction, today announced that they will co-invest in a fund which will invest in opportunities that are leading in the transformation of China’s digital TV industry.
Initially, China Digital TV and Tongda will invest RMB100 million and RMB200 million in the fund, respectively, as limited partners. Shoutai Jinxin, a fund management company, will be the general partner. The fund aims to raise approximately RMB3 billion. China Digital TV will work closely with the general partner and leverage its rich experience in the digital television industry to contribute to the success of the fund.
“As our asset restructuring with Tongda moves forward, we are pleased to also co-invest with them in this fund and support opportunities in the exciting emerging frontier of digital TV solutions,” said Dr. Zengxiang Lu, China Digital TV’s acting chief executive officer. “Furthermore, we believe the success of the fund will help to promote the business development of both our company and Tongda Venture going forward.”