Animoca Brands Corporation Ltd (ASX:AB1) has progressed its partnership with iClick Interactive Asia (NASDAQ:ICLK), signing a deal with Vigame Network worth about $12.6 million to resell the advertising inventory of iClick.
iClick is a China-based online marketing platform with gross billings of over US$400 million per annum. It is the largest Chinese independent online marketing platform in terms of gross billing.
Vigame is a leading mobile game developer and publisher in China focusing on casual games.
Animoca will resell to Vigame the social, media, and games advertising inventory of iClick for one year.
iClick has access to over 780 million user profiles and is the largest independent provider of advertising content to Tencent’s WeChat platform.
As a strategic reseller of iClick’s online marketing services, Animoca provides various services to iClick and its partners and clients, assisting them in expanding into the international video game market.
Notably, the new deal has exceeded Animoca’ previous estimate that the partnership with iClick would generate a minimum of $11.3 million revenue.
Animoca co-founder and chairman Yat Siu said: “This deal with Vigame is an important first step in our broader partnership with iClick.
“We will continue to expand the marketing and distribution capabilities of Animoca Brands throughout China while generating revenues from these initiatives, and we look forward to a series of fruitful and productive relationship with exciting new partners like Vigame.”
Access to 98% of internet users in China
Animoca works with iClick to expand the latter’s scope of activities in the video game sector, providing expertise in mobile gaming, blockchain, AI (artificial intelligence) and international markets.
The partnership brings multiple opportunities to Animoca including access to 98% of internet users in the Chinese market, an entry point to digital media resources such as ByteDance, Baidu, and Tencent, and access to the inventory of Tencent.
Animoca is utilising the partnership with iClick to explore opportunities for new audience reach and revenue generation in China.
China is the world’s largest mobile gaming market, with roughly a quarter of global gaming revenue.
On average, adults in China spend 3 hours per day on internet activities, and digital media is an integral part to hundreds of millions of Chinese consumers.