Focus Media's acquisition of Xinchao Media equity approved with restrictive conditions in antitrust review

上海证券报··CN·Read original
3▲1 ▼0Impact / 5
Summary · why it matters

The elevator media industry consolidation that has drawn significant market attention has made important progress. On October 10, the State Administration for Market Regulation issued an announcement that, following a review in accordance with the law, it approved Focus Media's acquisition of Xinchao Media equity with restrictive conditions attached. Focus Media holds a market share of 50 to 55 percent in China's elevator media advertising market, while Xinchao Media holds 5 to 10 percent, giving the combined entity a total market share of 55 to 60 percent. Focus Media plans to issue shares and pay cash to purchase 90.02 percent of the target company's equity from 45 shareholders of Chengdu Xinchao Media Group, including Chongqing Jingdong Haijia E-commerce, Zhang Jixue, and Baidu Online Network Technology Beijing. The transaction consideration is 7.794 billion yuan, whereas in April 2025 the company had planned to acquire 100 percent of Xinchao Media for 8.3 billion yuan. Focus Media has committed that, without legitimate reasons, the combined entity's actual annual transaction prices in each city will not exceed the actual transaction prices of Focus Media and Xinchao Media in the corresponding cities during the 24 months before the effective date, and will waive all related rights arising from exclusive clauses already concluded and in effect with property companies and other holders of elevator media point resources, and will not enter into exclusive clauses or automatic renewal clauses when signing or renewing point agreements.

Impact on assets 1

Others▲

Off-coverage companies 3

成都新潮传媒集团股份有限公司 (Chengdu Xinchao Media)i
Private▲ PositiveRegulationrelevance

Antitrust approval clears the acquisition of 90.02% of Chengdu Xinchao Media's equity by Focus Media.

新潮传媒集团有限公司i
Private▲ PositiveRegulationrelevance

Regulator approved Focus Media's acquisition of Xinchao Media equity, advancing the target's sale.

重庆京东海嘉电子商务有限公司i
Private± Mixedrelevance