【Epoch Times, December 18, 2025】Huayi Brothers Media Co., Ltd. (Huayi Brothers) announced on December 17 that its major shareholder, Jack Ma, had reduced his holdings, bringing his ownership below 5%. Additionally, Huayi Brothers have accumulated over 8.2 billion yuan in losses over the past seven years.
Huayi Brothers issued a notice on December 17 regarding the reduction of shareholdings by shareholders with over 5% ownership, touching upon increments of 1% and 5%. The notice stated, “Today, the company received a simplified equity change report and notification from its shareholder Hangzhou Ali Venture Capital Investment Co., Ltd. (referred to as ‘Ali Venture’) and Mr. Jack Ma, learning that Ali Venture had formulated the reduction plan based on its own business arrangements. Through bulk trading on December 17, Ali Venture reduced its shareholding from 3.467799% to 2.403580%, and both Ali Venture and its concerted action person, Mr. Jack Ma, saw their ownership percentages decrease from 6.064215% to 4.999996%.”
The notice also mentioned that the reduction “will not have a detrimental impact on the company’s normal operations.”
According to a report by the Daily Economic News on December 12, for the first three quarters of 2025, the company recorded total operating income of 215 million yuan, a 46% year-on-year decline, and a net loss attributable to shareholders of 114 million yuan, a 168% expansion from the previous year. From 2018 to 2024, Huayi Brothers’ net losses were 1.169 billion yuan, 3.978 billion yuan, 1.048 billion yuan, 2.46 billion yuan, 9.81 billion yuan, 5.39 billion yuan, and 2.85 billion yuan, totaling over 8.2 billion yuan in losses over seven years.
Furthermore, on December 10, Huayi Brothers and its legal representative Wang Zhongjun were subject to a court-imposed restriction on consumption. During this period, Wang Zhongjun is prohibited from using first-class seats on airplanes, high-speed trains, and engaging in high-consumption activities at luxury hotels and other venues.
On the same evening, Huayi Brothers issued a statement explaining that due to the impact of the economic situation, delayed payments had caused a temporary squeeze on their liquidity, leading to certain debts not being promptly repaid. As of December 10, 2025, the company’s overdue debts in financial institutions amounted to 52.5 million yuan, exceeding 10% of the company’s audited net assets for 2024.
Public records indicate that Huayi Brothers is a comprehensive entertainment conglomerate founded in 1994, headquartered in Beijing. Its main business segments include film and television entertainment, brand licensing and live entertainment, and internet entertainment, covering areas such as movies, TV dramas, artist management, records, and entertainment marketing.