The main-market listed group said it will install its panels in 22 new cinema locations in the Dadi network with installation work starting immediately.
The company pointed out that Dadi currently operates over 470 cinemas across China, and the contract represents the first collaboration between the two parties.
GVMH said it plans to roll its panels out to additional Dadi locations after the initial installation programme.
In addition, the group said, it has also secured the rights to cover all their advertising assets across Dadi's 400-plus cinemas with immediate effect.
It said this will include video advertising on the mega video walls in cinema foyers as well as the right to organize off-line events in the foyers.
Jonathan Lo, CEO, said "We are delighted to have come to this agreement with Dadi as it provides us with the opportunity to take our advertising clients into Dadi's popular cinemas in key locations across China.
“The agreement also allows us to expand our advertising products to mega video walls and across a broader geographic coverage, thus offering our customers more options to best meet their marketing goals."
In early afternoon trading, GVMH shares were 53% higher at 23p, having soared to a peak of 40p early in the session.