DouYu International Holdings Limited Announces the Appointment of Co-CEO and Special Cash Dividend

Rhea-AI Summary

DouYu International Holdings (Nasdaq: DOYU) has announced two significant developments: the appointment of Ms. Simin Ren as Co-CEO and the declaration of a special cash dividend. The appointment, effective January 16, 2025, follows a transition period under an interim management committee since November 2023.

The company declared a special cash dividend of US$9.94 per ordinary share/ADS, with a total payout of approximately US$300 million. Shareholders of record as of February 10, 2025, will receive payments around February 20, 2025, through JPMorgan Chase Bank for ADS holders.

The new Co-CEO emphasized the company's commitment to shareholder value and indicated ongoing efforts to improve operational efficiency amid challenging macroeconomic conditions.

Positive

• Substantial special dividend of $9.94 per share totaling $300 million
• Stabilization of management with permanent Co-CEO appointment
• Strong cash position enabling significant shareholder returns

Negative

• Challenging macroeconomic and operating environment acknowledged by management
• Significant cash outflow might impact future investment capabilities

News Market Reaction – DOYU

+27.66%

1 alert

+27.66% News Effect

On the day this news was published, DOYU gained 27.66%, reflecting a significant positive market reaction.

Data tracked by StockTitan Argus on the day of publication.

WUHAN, China, Jan. 16, 2025 /PRNewswire/ -- DouYu International Holdings Limited ("DouYu" or the "Company") (Nasdaq: DOYU) a leading game-centric live streaming platform in China and a pioneer in the eSports value chain, today announced that the Company's board of directors appointed Ms. Simin Ren as the Company's Co-Chief Executive Officer ("Co-CEO") effective as of today, following the transition under the leadership of the interim management committee since November 2023. With this appointment, the interim management committee has been dissolved.

On the same day, the Company's board of directors approved and declared a special cash dividend of US$9.94 per ordinary share, or US$9.94 per American Depositary Share ("ADS"), to holders of record of ordinary shares and ADSs as of the close of business on February 10, 2025.

The aggregate amount of cash dividends to be paid will be approximately US$300 million and is expected to be paid on or around February 20, 2025, for holders of ordinary shares and holders of ADSs. Holders of the Company's ADSs will receive the cash dividends through JPMorgan Chase Bank, N.A., the depositary, subject to the terms and conditions of the deposit agreement.

Ms. Simin Ren, Co-CEO of DouYu, commented, "We remained committed to delivering value to our shareholders. As part of our strategic cash management and allocation, our Board of Directors has approved a special cash dividend of approximately US$300 million. Given our current cash position and strategic business plan, we continue to focus on improving our operational efficiency and endeavor to overcome the challenges of the macroeconomic and operating environment in order to support the Company's long-term development."

About DouYu International Holdings Limited

Headquartered in Wuhan, China, DouYu International Holdings Limited (Nasdaq: DOYU) is a leading game-centric live streaming platform in China and a pioneer in the eSports value chain. DouYu operates its platform on both PC and mobile apps to bring users access to immersive and interactive games and entertainment livestreaming, a wide array of video and graphic contents, as well as opportunities to participate in community events and discussions. By nurturing a sustainable technology-based talent development system and relentlessly producing high-quality content, DouYu consistently delivers premium content through the integration of livestreaming, video, graphics, and virtual communities with a primary focus on games, especially on eSports. This enables DouYu to continuously enhance its user experience and pursue long-term healthy development. For more information, please see http://ir.douyu.com/.

Safe Harbor Statements

This press release contains forward-looking statements. These statements are made under the "safe harbor" provisions of the U.S. Private Securities Litigation Reform Act of 1995. Statements that are not historical facts, including statements about the Company's beliefs and expectations, are forward-looking statements. Forward- looking statements involve inherent risks and uncertainties, and a number of factors could cause actual results to differ materially from those contained in any forward-looking statement, including but not limited to the following: the Company's results of operations and financial condition; the Company's business strategies; general market conditions, in particular, the game live streaming market; the ability of the Company to retain and grow active and paying users; changes in general economic and business conditions in China; the impact of the COVID-19 to the Company's business operations and the economy in China and globally; any adverse changes in laws, regulations, rules, policies or guidelines applicable to the Company; and assumptions underlying or related to any of the foregoing. In some cases, forward-looking statements can be identified by words or phrases such as "may," "will," "expect," "anticipate," "target," "aim," "estimate," "intend," "plan," "believe," "potential," "continue," "is/are likely to" or other similar expressions. Further information regarding these and other risks, uncertainties or factors is included in the Company's filings with the Securities Exchange Commission. All information provided in this press release is as of the date of this press release, and the Company does not undertake any duty to update such information, except as required under applicable law.

Investor Relations Contact

In China:

Lingling Kong
DouYu International Holdings Limited
Email: ir@douyu.tv
Tel: +86 (10) 6508-0677

Andrea Guo
Piacente Financial Communications
Email: douyu@tpg-ir.com
Tel: +86 (10) 6508-0677

In the United States:

Brandi Piacente
Piacente Financial Communications
Email: douyu@tpg-ir.com
Tel: +1-212-481-2050

Media Relations Contact

Lingling Kong
DouYu International Holdings Limited
Email: pr_douyu@douyu.tv
Tel: +86 (10) 6508-0677

View original content:https://www.prnewswire.com/news-releases/douyu-international-holdings-limited-announces-the-appointment-of-co-ceo-and-special-cash-dividend-302352902.html

SOURCE DouYu International Holdings Limited

FAQ

What is the amount of DouYu's (DOYU) special cash dividend announced in January 2025?

DouYu announced a special cash dividend of US$9.94 per ordinary share or ADS, totaling approximately US$300 million.

When will DouYu (DOYU) pay its special dividend announced in January 2025?

The special dividend will be paid on or around February 20, 2025, to shareholders of record as of February 10, 2025.

Who was appointed as DouYu's (DOYU) new Co-CEO in January 2025?

Ms. Simin Ren was appointed as DouYu's Co-CEO effective January 16, 2025.

How long was DouYu (DOYU) under interim management before appointing the new Co-CEO?

DouYu was under an interim management committee from November 2023 until January 16, 2025.

Which bank will process DouYu's (DOYU) special dividend for ADS holders?

JPMorgan Chase Bank, N.A., as the depositary, will process the special dividend payment for DouYu's ADS holders.