Focus Media boosts overseas presence with $60m capital increase

Focus Media Information Technology will increase capital in its 70%-owned subsidiary, Focus Media Overseas Investment III Limited (FMOIL III), by up to $60 million within the next year, with proportional increases from other shareholders JAS Investment Group Limited and Top New Development Limited. This move supports FMOIL III's operations across Hong Kong, Thailand, Singapore, Indonesia, Malaysia, Dubai, Abu Dhabi, Australia, and Brazil, and will not alter the company's consolidated financial statements.

In a related move, Focus Media's board approved an increase in its 2025 daily connected transaction forecast by RMB 500 million, bringing the total for advertising services to RMB 2.5 billion. The board also approved an RMB 3 billion forecast for 2026 for providing advertising services to Alibaba and up to RMB 300 million for procuring goods/services from Alibaba, reflecting an ongoing and beneficial business relationship.

The capital increase and connected transactions were reviewed and approved by the independent directors and the board, with the controlling shareholder, JIANG NANCHUN, abstaining from the capital increase vote due to his stake in JAS and TNDL. These transactions are deemed fair, market-based, and integral to the company's strategic growth and operational needs.