MBC Group subsidiaries sign 2 MoUs with TikTok

The company said the provisions of the memoranda will be effective from the date of their signing and will remain valid for three years from the date the conditions specified in them are fulfilled, or until Dec. 31, 2027, whichever is later, unless the memoranda are terminated earlier in accordance with their provisions.

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It added that, under the provisions of the memoranda, the two parties will collaborate to deliver outstanding content on TikTok by establishing a cooperative relationship between them and developing it into a long-term strategic partnership.

The two parties will work during the term of the memoranda to enhance the user experience on the platform in Saudi Arabia.

The first memorandum stipulates that the two parties will fulfill certain conditions, including the signing of a final agreement that regulates their rights and obligations regarding their area of cooperation, which may include provisions related to MBC Media producing content on TikTok and providing consulting services to TikTok to attract users, as well as the financial returns for MBC Media in exchange for the services provided to TikTok.

The second memorandum stipulates that the two parties will fulfill certain conditions, including the signing of a final agreement that regulates their rights and obligations regarding MMS selling advertising space on TikTok’s platform in Saudi Arabia. The final agreement will include provisions related to the implementation of MMS’s resale advertising program on TikTok’s platform.

MBC Group expects the final agreement to specify the financial returns for MMS related to the resale advertising program on TikTok’s platform.

The two parties will work on finalizing negotiations regarding the detailed terms and conditions of the final agreement. There is no guarantee that MBC Media and MMS will sign the final agreement. If the final agreement is signed, the company will announce it in accordance with the relevant regulations and rules, the statement added.

The company noted that this MoU will have no financial impact on the company, and there are no related parties involved.