Tuesday, October 29, 2013
Suning To Buy Stake In Online TV Firm From SoftBank
SHANGHAI (Nikkei)--The Chinese parent of electronics store operator Laox Co. (8202) said Monday that it will invest up to 250 million dollars, or some 24 billion yen, in the operator of major Internet television service PPTV to become a top shareholder.
Suning Commerce Group Co. has reached an agreement with SoftBank Corp. (9984) to acquire the Japanese telecommunications group's entire 35% interest in the Chinese online TV firm. The purchase will lift Suning's stake to 44%. Softbank has not disclosed the sale price.
PPTV makes movies and sports channels available over the Internet in China. SoftBank had bought the stake for about 20 billion yen in 2011.
The rise of online shopping has left Suning struggling to grow sales at physical stores. By bringing an entertainment content provider under its umbrella, the company seeks to strengthen its online retail business.
(The Nikkei, Oct. 29 morning edition)