Mubi has entered into a joint venture with Asian film producer Dong Ping’s Huanxi Media Group to launch the popular video streaming model in China this year.
Huanxi will invest a total of $50 million in Mubi, with a view to launching the curated video on demand service across China within this year.
The launch in China marks another significant step for Mubi, headquartered in London and currently available in over 200 territories globally.
Huanxi will invest $40 million in Mubi China for 70% of the joint venture entity. The remainder of the equity is Mubi's contribution by way of license of its intellectual property and knowhow into Mubi China.
As part of the agreement, Huanxi will make a strategic investment in Mubi of $10 million for 8% of Mubi, valuing the company at $125 million.
When launched in China, the popular SVOD model will introduce to subscribers one film a day, available for 30 days and accessible across multiple devices through a monthly or yearly subscription.
"Through our partnership with Huanxi, we will be able to introduce a curated film offering in the country with the largest population in the world and soon the largest film market in the world,” said Efe Cakarel, founder and CEO of Mubi.
Dong Ping, executive director of Huanxi, said the JV with Mubi would allow the company to combine its expertise in creating, acquiring original, event-driven content in China with Mubi’s user-friendly platform.