• by Ray Schultz , April 30, 2024

PLBY Group, Inc. owner of the Playboy brand, has entered into several licensing agreements in China through its China joint venture China JV.

This includes a five-year license agreement with Guandong Duhan Industrial Co., Ltd (Duhan) to create a stronger manufacturing and marketing channel for Playboy-branded men’s and women’s apparel and accessories in the country. 

In addition, China JV has entered into a three-year license agreement for footwear, bags, and specialty apparel; has extended its license agreement for underwear; and agreed to a new event and venue license deal. The latter will bring events and Playboy-branded venues in cities including Shanghai, Beijing and Hangzhou.

The goal is to “rebuild and grow Playboy’s China business by working with stronger partners that have deep experience with the online platforms in China and are committed to responsibly utilizing the Playboy brand,” says Ben Kohn, chief executive officer of PLBY Group. 

Duhan will license select Playboy intellectual property in China for certain men’s and women’s apparel and accessories and cannot sublicense without approval of China JV. 

Moreover, Duhan is required to pay minimum royalties of $37 million over the five years and any excess royalties. 

The new license partially replaces a terminated license agreement.

“By working with higher quality partners and entering into shorter-term licenses with achievable minimum guarantees that incentivize them to invest in the brand and achieve excess sales and royalties, we are confident that we are taking solid steps in the right direction,” Kohn adds.