Memorandum of Understanding with Chinese Film Corp, Shanghai Film Group Corporation and Fudan University
LONDON — (BUSINESS WIRE) — May 18, 2015 — Eros International, Plc (NYSE: EROS) (“Eros”), a leading global company in the Indian film entertainment industry, announced landmark deals with three major Chinese state owned film and entertainment companies to promote, co-produce and distribute Sino-Indian films across all platforms in both the countries.
The Memorandums of Understanding (MoUs) signed amongst the parties outline the prospective co-production and distribution of Sino-Indian films with Chinese government owned film production houses, including Chinese Film Corp (CFC) and Shanghai Film Group Corporation (SFG), as well as with Fudan University in Shanghai. The announcement paves the way for Eros to become the preferred Indian film partner in China.
Commenting on the announcement, Jyoti Deshpande, CEO of Eros International Plc said, “We are proud to be partnering with China’s largest and most-respected media companies and look forward to building a leadership position in one of the largest and fastest growing film markets in the world. With access to more than 2.5 billion consumers, over 20,000 movie screens and an accelerating internet infrastructure, the possibilities for collaboration are endless.”
The Chinese movie market is sized at US $4.8 billion, second only to the U.S., and grew 34% in 2014. China produced over 600 films in 2014. The number of theatre screens in China has also quadrupled since 2010 with 5,397 screens added in 2014 alone, taking their screen count to 23,600. Per industry projections in the next five years China is expected to surpass the U.S. to be the world’s largest box office. In comparison, India’s widest release to date has been across just 5,000 screens.1
As one of its first projects, Eros announced that it will co-produce with CFC the film TANG XUAN ZANG, starring China’s most popular and multi faceted actor, Huang Xiaoming and directed by HuoJianq.
Speaking on the occasion on behalf of China Film Corp, Mr. La Peikang said, “We are pleased to be partnering with Eros on this landmark agreement. The co-production of our first film, TANG XUAN ZANG is an exciting initial step and we look forward to collaborating on future compelling film opportunities that will appeal to the vast Sino-Indian market.”
The collaboration with the Shanghai Film Group Corporation will allow for the exploitation of IP rights owned by both companies in their respective markets as well as the development, co-production and distribution of film projects in both India & China.
Mr. Ren Zhonglun, President of Shanghai Film Corporation commented, “This is an exciting partnership and we believe the agreement between Eros and SFG will provide a compelling platform to exploit IP rights and also co-produce and develop new and exciting content for both the Indian and Chinese markets. With a growing population between the two countries of 2.5 billion people and vast similarities in terms of culture, religion and art, we see great potential for further strategic development and growth in both markets.”
The association with Fudan University (Fudan) allows Eros to license Fudan’s IP for remakes or co-productions in India. Fudan will also assist Eros in obtaining publishing licenses for the promotion and distribution of films in the Eros library in China across various platforms.
The (MoUs) were signed by Sunil Lulla, Eros Managing Director, at the recently concluded strategic partnership meeting between Indian Prime Minster, Mr. Narendra Modi & Chinese President, Mr. Xi Jinping in China.
About Eros International Plc
Eros International Plc (NYSE: EROS) is a leading global company in the Indian film entertainment industry that acquires, co-produces and distributes Indian films across all available formats such as cinema, television and digital new media. Eros International Plc became the first Indian media company to list on the New York Stock Exchange. Eros International has experience of over three decades in establishing a global platform for Indian cinema. The Company has an extensive and growing movie library comprising of over 2,300 films, which include Hindi, Tamil, and other regional language films for home entertainment distribution. For further information please visit: www.erosplc.com
About China Film Group Corporation (CFGC)
China Film Group Corporation (“CFGC”) is the largest and most influential state-run film enterprise in China. China Film Group is involved in a variety of businesses which include film and television production, film distribution and exhibition, film importation and exportation, cinema circuit management, digital cinema construction, print developing and processing, film equipment management, film and TV CD production, ancillary products, advertising, property management as well as real estate.
About Shanghai Film Group Co. Ltd. (SFG)
Shanghai Film Group Co. Ltd. (“SFG”) is composed of Shanghai
Film Studio, Shanghai Animation Film Studio, Shanghai Dubbing Studio,
Shanghai Documentary Film Studio, Shanghai Film Technology Plant,
Shanghai United Cinemas, East Film Distribution Company，Shanghai East
Movie Channel, Shanghai Film Park, Shanghai Art Designing Corp.,
and Crowne Plaza Hotel Shanghai etc. It is one of the largest film
groups in China.