08:19 AM EST, 12/06/2024 (MT Newswires) -- The9 ( NCTY ) said Friday that its unit, Shanghai The9 Information Technology, has amended its joint venture agreement with Zhejiang Huanyu Network Technology to increase revenue and profit commitments.

The9 ( NCTY ) said the updated agreement states that Huanyu now commits that the joint venture will generate 900 million renminbi ($123.9 million) in game revenue in 2025, up from 600 million renminbi previously, as well as 300 million renminbi in profit, up from 200 million renminbi initially.

The9 ( NCTY ) said annual growth of at least 30% in both metrics for 2026 and 2027 will remain unchanged.

The joint venture, established in September, is 51% owned by The9 ( NCTY ) and 49% by Huanyu. It operates games such as MIR M, for which it has exclusive publishing, marketing, and distribution rights on certain iOS and Android channels.

Quarterly dividends will be distributed based on shareholding ratios, The9 ( NCTY ) said.

The9 ( NCTY ) said it has granted Huanyu 475,102,500 restricted shares, which are equivalent to 1,583,675 ADSs and will be unlocked in stages based on the joint venture's 2025 business results.