Core Insights - The domestic plush toy brand "Super Vitality Factory" has opened a strategic investment opportunity exclusively to the Reading Group, resulting in Reading acquiring a 10% stake in the company, marking the first publicly recorded investment case in the vertical plush toy industry by a mainstream investment institution [1][3] - The investment is part of Reading's broader strategy to expand its IP derivative business, which includes both self-built and investment approaches to commercialize IP in the derivative product sector [3][5] Company Overview - Super Vitality Factory, under Hangzhou Lecheng Brand Management Co., Ltd., transitioned from a plush toy supply chain company to a brand that provides comprehensive plush product solutions for international events, global IPs, and leading domestic brands [1] - The company utilizes innovative composite materials in its products, which include plush blind boxes and high-quality plush figures, and has developed original IPs such as "Cino," "Adou," and "Alber" [1][4] Investment Details - Following the investment, both companies plan to collaborate closely on developing original toy IPs, with new product lines expected to launch in the second half of the year [3] - Reading has been actively investing in plush toy companies to enhance its scale and diversify its product offerings, having already launched collaborative products like the "Reading All-Star Island Party" plush items [4] Market Outlook - According to the "Trendy Toy Industry Development Report," the retail market size for trendy toys in mainland China is projected to reach 110.1 billion RMB by 2026, with a compound annual growth rate of 24% [5] - Reading Group aims to position "IP commercialization" as a key focus area, leveraging its cultural content platform to penetrate popular industries such as plush toys and card games [5]

Core Viewpoint - The investment in "Super Vitality Factory" marks a significant expansion of the derivative product business for the reading culture group, indicating a strategic move towards enhancing its IP commercialization efforts [2][5]. Group 1: Investment Details - The well-known plush toy brand "Super Vitality Factory" has opened exclusive strategic investment to the reading culture group, granting it a 10% stake in the company [3]. - This investment is the first publicly disclosed case of mainstream investment in the vertical plush toy industry in China [3][4]. Group 2: Company Background - "Super Vitality Factory" originated as a plush toy supply chain company with its own factory, providing comprehensive plush product solutions for international events and major domestic brands [4]. - The company utilizes innovative composite materials in its products, which include various forms such as plush blind boxes and high-quality plush figures, and has developed original IPs like "Cino," "Adou," and "Alber" [4]. Group 3: Future Collaboration - Following the investment, both parties will engage in deep collaboration on original toy IP development, including joint incubation and creation of new IPs, with new product lines expected to launch in the second half of the year [5]. - The investment is part of the reading culture group's broader strategy to commercialize its IP through both self-built and investment avenues [5]. Group 4: Market Outlook - The "Trendy Toy Industry Development Report" predicts that by 2026, the retail market size for trendy toys in mainland China will reach 110.1 billion RMB, with a compound annual growth rate of 24% [6]. - The reading culture group aims to position itself in the trendy toy and card industries through its IP derivative product business, emphasizing "IP commercialization" as a key direction for the group [6].