Chengtian Entertainment International Holdings Ltd., a Beijing-based domestic entertainment provider, purchased 24.78 percent of the shares of Golden Harvest Entertainment Co. Ltd. in Hong Kong.
Chengtian Entertainment agreed to pay HK$200 million for securities and convertible bonds owned by Raymond Chow, chairman of Golden Harvest, and his daughter. The mainland company hopes to produce no less than 20 picture shootings annually in the following years with the help of its experienced Hong Kong partner, said Wu Kebo, Chairman and founder of Chengtian Entertainment. Wu is expected to be the chairman of Golden Harvest when the purchase is finalized.
The two companies will cooperate in film production, distribution, and cinema operation. Established in 1970, Golden Harvest is well known for its kung-fu films, like, The Big Boss staring Bruce Lee and Jackie Chan's The Accidental Spy. Chengtian Entertainment became one of the fastest growing entertainment makers on the Chinese mainland. The company was involved in large productions including Peter Chan's Warlord and John Woo's Red Cliff.
Chow will remain on as consultant in the new group reorganized by Golden Harvest and Chengtian Entertainment. Wu said it is their honor to keep Chow, a man who made a major contribution to the entertainment industry in Hong Kong over the past decades.
Major shareholders in Golden Harvest, founded by Chow, Leonard Ho and Leung Fung, include Li Ka-shing with 17 percent of holdings, EMI and Norman Cheng Tung-hon with 12 percent of shares, and Jackie Chan with about a five percent stake.
(China.org.cn by Wu Jin November 2, 2007)
