DAMAI ENT (01060) surged more than 5% during intraday trading, with shares ultimately settling at a 3.70% gain to HK$1.12 by press time. Trading volume reached HK$212 million, reflecting robust investor interest.

The entertainment company recently made strategic pivots in its business portfolio. On June 25, DAMAI ENT announced the discontinuation of its wholly-owned trendy toy brand Jin Li Na Qu, citing comprehensive market and operational considerations. The very next day, the Jiangsu Provincial City Football League designated DAMAI's app as the exclusive ticket platform for the July 5 Nanjing vs. Suzhou derby match.

Analysts from China Securities highlighted that these dual developments signal sharper focus on DAMAI's core competencies. Securing ticketing rights for the Jiangsu Super League fixture marks the company's strategic expansion into regional sports events – a move expected to boost brand visibility among male audiences through sports traffic. This complements DAMAI's established music performance segment, which predominantly attracts female consumers.

Notably, the closure of Jin Li Na Qu won't disrupt DAMAI's consumer-facing merchandise operations. Concurrently, Alifish – DAMAI's IP licensing arm – has accelerated collaborations with premium intellectual properties including Sanrio and Chiikawa. These partnerships are projected to drive incremental revenue growth. Alifish's end-to-end IP management capabilities further position DAMAI to secure additional high-value licensing agreements, strengthening its entertainment ecosystem.