Changes in Hong Kong stocks | Xindong (02400) rose more than 3% to acquire IP assets related to “Torchlight” for US$37.18 million

The Zhitong Finance App learned that Xindong (02400) rose more than 3%. As of press release, it had risen 3.56% to HK$65.4, with a turnover of HK$42.346 million.

According to the news, Xindong Company announced that on December 29, its wholly-owned subsidiary XDEntertainment signed an “Asset Transfer Agreement” with sellers Runic and ArcGames, and related party GoldenArc, agreeing to acquire all rights, ownership and interests in intangible assets related to games and related intellectual property (in particular “Torchlight” intellectual property rights). The transaction cost was US$37.18 million.

According to the announcement, after the asset transfer is completed, the group will fully own the intellectual property rights and will no longer incur such patent fees. This move will directly increase the profit margin of “Torchlight: Infinite”, improve the Group's overall profitability, and create better returns for shareholders. Furthermore, with full ownership of the intellectual property rights of “Torchlight”, the group will be able to independently develop sequels, derivative works and cross-platform products, thereby further enriching the product portfolio, expanding new revenue streams, and achieving deep value transformation and continuous growth from this high-quality intellectual property asset.