On January 9, Financial Associated Press reported (Reporter Huang Lu) that the "first stock of mountain and river tourism" is set to create spark with the "first stock of Chinese media."

Tonight, Zhang Jia Jie (000430.SZ) and Hunan TV & Broadcast Intermediary (000917.SZ) jointly issued an announcement, stating that both parties signed a "Global Strategy Cooperation Framework Agreement" today to achieve strategic cooperation in promoting strategic integration, expanding the business layout, and participating in restructuring investment, thus working together to promote the innovative and integrated development of Zhang Jia Jie’s cultural tourism industry.

It is noteworthy that the announcement shows that Hunan TV & Broadcast Intermediary is willing to actively participate in Zhang Jia Jie’s restructuring investment, having registered to participate in the recruitment of restructuring investors for Zhang Jia Jie Tourism Group, but it remains uncertain whether they will ultimately become formal restructuring investors.

The "first stock of mountain and river tourism," Zhang Jia Jie, is now on the brink of bankruptcy restructuring. In October of last year, the Intermediate People's Court of Zhang Jia Jie City decided to initiate preliminary restructuring for the company and appointed the Zhang Jia Jie liquidation team as the temporary administrator. Subsequently, the preliminary restructuring work progressed rapidly, with recruitment of restructuring investors beginning by the end of October last year, and by January 5, a total of 46 prospective investors submitted formal registration materials and paid registration deposits in full, totaling 0.368 billion yuan. Currently, it has entered the stage of selecting restructuring investors.

Previously, Zhang Jia Jie clearly stated that the purpose of recruiting restructuring investors is to introduce strong and collaborative industry restructuring investors to provide industry and financial support for the company: first, effectively integrate industrial resources, enhance the operational efficiency of assets, and improve the company's sustainability and profitability; second, comprehensively resolve the company's operational and debt risks, and optimize the company's asset and liability structure; third, legally safeguard and ensure fair compensation for creditors' rights while striving to achieve a win-win situation for creditors, debtors, contributors, and investors.

However, Zhang Jia Jie also stated that the signed "Global Strategy Cooperation Framework Agreement" does not represent the selection of restructuring investors by the temporary administrator, who will proceed with the selection process in an orderly manner to determine the company's restructuring investor through reviews.

Hunan TV & Broadcast Intermediary is the first publicly listed company in China's media industry and is known as the "first stock of Chinese media." Previously, Hunan TV & Broadcast Intermediary revealed during institutional research that the company aims to establish the largest cultural tourism investment platform in Hunan and be among the top 20 tourism enterprises in China. In Hunan Province, it has actively implemented the Mango Cultural Tourism "Three Hunan Starlight Action," deploying 8 cultural tourism projects in 6 cities in Hunan Province, and successfully revitalizing state-owned idle assets by leveraging a unique model focused on "light assets, strong planning, robust operation, and productization," thereby creating multiple benchmark projects of "culture + technology + tourism," accelerating the implementation of the "new cultural tourism" strategy.

Zhang Jia Jie Tourism Group is the first listed company in the tourism sector of China, known as the "first stock of mountain and water tourism". It is a state-owned comprehensive tourism enterprise currently promoting pre-restructuring efforts.

Both parties are holding companies under Hunan State-owned Assets. If Hunan TV & Broadcast Intermediary can become the ultimate restructuring investor for Zhang Jia Jie, both sides can leverage their strengths, leading to a high degree of business alignment.

In the first three quarters of 2024, Zhang Jia Jie achieved revenue of approximately 0.31 billion yuan, a year-on-year decrease of 5.08%; net income attributable to the parent company was -64.7251 million yuan, a year-on-year decrease of 53.36%. Since 2020, Zhang Jia Jie has reported losses for four consecutive years, totaling losses of 92.21 million, 0.135 billion, 0.26 billion, and 0.239 billion yuan respectively. The company invested over 2 billion yuan to construct the ancient city of Dayong, which has become a burden on the company's performance. The earnings reports show that only 2,300 people bought tickets for the ancient city in the first half of the year, averaging fewer than 20 ticket purchasers per day.

It is worth mentioning that on November 22nd last year, to facilitate potential investors in preparing materials, making internal decisions, attracting more interested investors, ensuring the rights of all parties to participate in the restructuring investment, and maximizing the protection of creditor interests, the temporary manager for pre-restructuring of Zhang Jia Jie extended the deadline for interested investors to sign up to December 25, 2024.

Previously, Hunan TV & Broadcast Intermediary had not issued any announcements regarding participation in the restructuring investment of Zhang Jia Jie. In tonight's announcement, Hunan TV & Broadcast Intermediary stated that the aforementioned strategic cooperation agreement is a framework agreement based on mutual intent to cooperate, and specific cooperation matters need to be determined through negotiations based on the pre-restructuring progress of Zhang Jia Jie, recruitment of restructuring investors, and other actual circumstances, followed by both parties fulfilling effective approval procedures before signing related contracts or agreements. The specific implementation situation remains uncertain.