Playboy Enterprises signed an agreement to sell a 50% stake in its China business to regional partner United Trademark Group (UTG) for $122 million. Upon closing, UTG will assume full management control of Playboy’s operations in mainland China, Hong Kong, and Macau. The deal includes a $45 million payment for the stake, an eight-year minimum guaranteed royalty of $67 million, and $10 million for brand support. Playboy will retain the other 50% and receive a guaranteed minimum annual dividend. The transaction is expected to close by March 31, 2026. The news prompted Playboy’s stock to rise 16.98%. This move aligns with Playboy’s strategy to focus on brand licensing and global expansion under a capital-light model.

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