Archosaur games renews key tencent cooperation for three years

Archosaur Games Inc. announced the proposed renewal of its Tencent Game Cooperation Framework Agreement, set to expire on December 31, 2025. The renewed agreement, effective January 1, 2026, until December 31, 2028, covers IP rights licensing and exclusive publishing and operation of the group's games by Tencent Group. This renewal is subject to approval by independent shareholders at an extraordinary general meeting (EGM) on December 17, 2025.

The proposed annual caps for IP Rights Licensing payable by Archosaur to Tencent are yuan 68.40m (2026), yuan 121.60m (2027), and yuan 166.70m (2028). For exclusive publishing and operation, the caps payable by Tencent to Archosaur are yuan 73.90m (2026), yuan 70.70m (2027), and yuan 65.50m (2028). Tencent, a substantial shareholder with approximately 17.19% of Archosaur’s issued shares, will abstain from voting.

The decision to renew stems from the strategic advantages of collaborating with Tencent, a leading mobile game publisher, to leverage its platforms for broader audience reach and enhanced game promotion. Pricing policies for both agreements are determined through arm's-length negotiation, referencing market prices, game popularity, and potential revenue.