(Bloomberg) -- Shanghai Youhug Media Co., a Chinese television drama studio, is planning an initial public offering that could raise at least $100 million, according to people with knowledge of the matter.
The production company is considering selling shares in Hong Kong as soon as this year, the people said, asking not to be identified because the information is private. Details of the offering, including the fundraising target and listing venue, could change depending on market conditions, one of the people said.
Youhug Media produced the 2013 hit “Prince of Lanling,” a historical drama about an ancient general that starred Taiwanese actress Ariel Lin. It's seeking a listing at a time when China is tightening its grip on cultural output, with regulators seeking to cap actors' pay following a high-profile probe into tax evasion.
An official at Youhug Media declined to comment.
Entertainment and broadcasting companies listed in Hong Kong have fallen an average 39 percent over the past year, compared with an 18 percent decline in the benchmark Hang Seng Index, data compiled by Bloomberg show. STX Entertainment, a U.S. filmmaker backed by Tencent Holdings Ltd., said in October it's shelving its Hong Kong IPO plan due to difficult market conditions.
In April 2017, Youhug Media delisted from a domestic over-the-counter market known as the New Third Board.
To contact the reporter on this story: Crystal Tse in Hong Kong at ctse44@bloomberg.net
To contact the editors responsible for this story: Ben Scent at bscent@bloomberg.net, Fion Li
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