China Literature raises Tencent cooperation caps, citing short drama

China Literature, the Hong Kong-listed online literature group controlled by Tencent, filed an announcement with the Hong Kong stock exchange on 12 October 2026 revising the annual caps on two framework agreements with Tencent.

The caps on advertising commissions paid by Tencent to China Literature rise from RMB 850m, RMB 1,010m and RMB 1,080m to RMB 1,100m, RMB 1,900m and RMB 2,200m for 2026, 2027 and 2028. The filing attributes the increase to the further expansion of the cooperation to short drama and AI-animated drama works, in addition to online literature, in the second quarter of 2026. Commissions for the first nine months of 2026 were RMB 566.3m.

The caps on promotion fees paid by China Literature to Tencent rise from RMB 100m, RMB 100m and RMB 110m to RMB 230m, RMB 340m and RMB 350m. The company expects fees for promoting short-drama and AI-animated-drama works through Weixin Mini Programs of between RMB 80m and RMB 180m a year to 2028, under an arrangement described as under negotiation.

The figures are caps, not revenue. The advertising revision requires approval by independent shareholders, and a circular is to follow.