Editorial Summary

Chinese software and online game company Kingsoft (3888.HK) announced on Monday that it has entered a framework agreement to invest RMB 10 million in a joint venture project with online game research and development studio Lianking. Kingsoft will hold a 40 percent stake in the new online game development company during the initial period, and will be empowered to license all online games produced by the new company in its first five years of operation.

Lianking has developed full 3D engine Alchemy that was used to develop Sohu's (Nasdaq: SOHU) 3D MMORPG Tian Long Ba Bu and NetDragon's (8288.HK) 3D MMORPG Realm of Chaos, according to the announcement. Lianking currently has 27 employees.