MUBI and Asian film producer Dong Ping's Huanxi Media Group are set to launch the popular video-on-demand service in China as part of a joint venture, Telecom Asia reports.
With plans aiming to launch the video streaming service throughout the country during this year, a total sum of $50m will be invested in MUBI by Huanxi.
While MUBI, headquartered in London, is currently available in more than 200 territories across the globe, the launch of their service in China will mark another significant landmark for the global film website.
Under the agreement, 70% of the joint venture entity will be Huanxi's as a result of a $40m investment in MUBI China. MUBI will contribute to the remaining equity through the license of their intellectual property and knowhow into MUBI China.
A strategic investment of $10m will be made in MUBI by Huanxi for 8% of the global film website. This will value the company at $125m.
Once the service is launched in China, subscribers will be introduced to one film a day via the SVOD model. The service will be accessible across multiple devices through a monthly or yearly subscription.
"Through our partnership with Huanxi, we will be able to introduce a curated film offering in the country with the largest population in the world and soon the largest film market in the world," founder and CEO of MUBI, Efe Cakarel said.
Executive director of Huanxi, Dong Ping, said the joint venture with MUBI would allow the company to combine its expertise in creating and acquiring original content in China with MUBI's user-friendly platform.