Alibaba, Tencent Invest $53M In Chinese TV Show Producer Canxing

Chinese tech giants Alibaba Group Holding and Tencent Holdings Ltd have invested in television show producer Shanghai Canxing Cultural and Broadcast Company Ltd., according to a security filing.

Alibaba and Tencent invested RMB200 million (US$29 million) and RMB160 million (US$23 million) respectively, gaining 1.17% and 0.94% stake of the company.

Tencent invested through its subsidiary Tibet Qiming Music Ltd., whose shareholders are Yang Qihu, general manager of Tencent Music, and Hu Min, CFO at Tencent Music.

Canxing was co-founded by Asian media giant Star Group Ltd. and cultural conglomerate Chinese Culture Group in 2010 that produces TV shows including Voice of China, China’s Got Talent among others.

In December 2017, Canxing raised a US$3.2 billion series A round from undisclosed investors. The firm also announced its plan to go public in China in 2018.

It is rare for Alibaba and Tencent to co-invest, but recently the duo have co-led a RMB10 billion (US$1.49 billion) series A round in China Media Capital (CMC) Inc., a media and entertainment company.

Last week, the two companies were reportedly in talks to acquire a minority stake in British advertising and public relations firm WPP.

China Expert network