About B.DUCK SEMK Company

The Group's history dates back to 2001, when our founder, Mr. Xu, established our principal operating subsidiary, Senke Products, which, upon its incorporation, focused on design services. In 2005, Mr. Xu created our signature character, B.Duck, and launched a retail business featuring B.Duck‑themed consumer products. Since 2011, we have developed our character licensing business by granting licenses to Hong Kong-based licensees for use of the B.Duck character in consumer goods and promotional projects. Over the years, we have expanded this licensing business into China and other countries. Leveraging our expertise in character‑based merchandise and promotional licensing, in 2015 we broadened our sales channels in China through third-party e‑commerce platforms, offering products featuring the B.Duck family of characters to meet customers' round‑the‑clock online needs. According to a Frost & Sullivan report, we are the second-largest domestic character IP company in China and, based on 2020 character licensing revenues, ranked fifth among all Chinese character IP companies, with a market share of approximately 2.4%. In terms of sales within China's e‑commerce market for character‑IP products, our market share in 2020 was about 0.6%. The B.Duck family of characters has amassed over 10.5 million followers across various e‑commerce and social media platforms—more than 3.6 million on Weibo, over 3.5 million on Tmall, more than 1.0 million on Facebook, and over 0.9 million on Vipshop—with total views of content related to the B.Duck family exceeding 740 million. Our business encompasses the creation, design, and licensing of original, proprietary, and iconic B.Duck characters across multiple channels, along with brand management and marketing activities for these characters. We develop and maintain style guidelines, licensing the B.Duck characters and brand to authorized partners, and provide product‑design support to enable them to apply our characters across a wide range of products, including household items, apparel, accessories, and infant personal care products. We also sell B.Duck‑themed products through rapidly expanding online channels, such as our Tmall flagship store, as well as through offline distribution networks. As of the latest practicable date, the B.Duck family of characters has garnered over 10.5 million followers worldwide across major e‑commerce and online social media platforms—including more than 3.6 million on Weibo, over 3.5 million on Tmall, more than 1.0 million on Facebook, and over 0.9 million on Vipshop.