Alilbaba has agreed a deal to sell its video-gaming business to private-equity outfit Trustar Capital for at least $1.5bn, as the ecommerce giant offloads non-core businesses and increases its spending on AI.
Source: Sharecast
According to an internal memo seen by The Wall Street Journal, the Chinese firm has reached an agreement to dispose of Lingxi Games, best known for multiplayer game Three Kingdoms: Strategy Edition.
While the WSJ cited a source giving a $1.5bn price tag for the unit, a separate report by Reuters said that the deal price could fetch more than $1bn.
The deal is "part of Alibaba’s overall road map to sharpen its strategic focus", according to Lingxi Games boss Zhou Bingshu in the memo.
Hong Kong-listed shares of Alibaba finished 1.9% higher at HKD122.20 on Monday.
Compare our accounts
If you're looking to grow your money over the longer term (5+ years), we have a range of investment choices to help.
Halifax is not responsible for the content and accuracy of the Markets News articles. We may not share the views of the author. Understand the risks, please remember the value of your investment can go down as well as up and you may not get back the full amount you invest. We don't provide advice so if you are in any doubt about buying and selling shares or making your own investment decisions we recommend you seek advice from a suitably qualified Financial Advisor. Past performance is not a guide to future performance.