KUALA LUMPUR (Dec 15): Green Packet Bhd is teaming up with Asia Television Digital Media (Malaysia) Sdn Bhd (ATVM) — whose ultimate holding company is Hong Kong-listed Co-Prosperity Holdings Ltd — to jointly operate broadcasting television (TV) channels in Malaysia.

In a filing with Bursa Malaysia, Green Packet said it has entered into a memorandum of understanding (MoU) with ATVM to form a joint venture (JV) for the project.

It said ATVM is desirous of collaborating with the group and will invest HK$50 million for the project.

This is subject to the due diligence to be conducted by ATVM on Green Packet’s wholly-owned subsidiary Kiple Media Sdn Bhd and execution of a set of definitive documentation for the project.

Under the JV, Kiple Media is tasked to obtain the content applicant service provider licence from the Malaysian Communications and Multimedia Commission (MCMC) to operate three or more broadcasting channel television in Malaysia, which may comprise of Chinese language movie channels, Chinese language general entertainment channels and home shopping channels.

Green Packet will also enter into a service agreement with MYTV Broadcasting Sdn Bhd for the leasing arrangement of the broadcasting channels' rights.

At the same time, ATVM will provide Kiple Media with some or all of ATV self-produced broadcasting content, as well as some or all of its third-party broadcasting content, at terms and conditions to be discussed.

Green Packet shares rose one sen or 1.94% to close at 52.5 sen today, giving it a market capitalisation of RM398.33 million.