(Yicai Global) June 5 -- Chinese Kuaishou Technology which runs Kuaishou streaming platform, has acquired Beijing-based anime video provider AcFun to stand up against market competition which has accelerated while both firms have suffered from a government crackdown on internet sleaze.
The purchase price of AcFun is likely to be less than CNY750 million (USD117 million), online media outlet 36Kr reported, adding that the Beijing-based Kuaishou has long been considering to lead a new funding round for the anime platform but has failed to carry out the deed due to lack of participants.
AcFun's main rival is video platform Bilibili, which raised as much as USD483 million in an initial public offering in the US in March, and became one of China's first listed online video sites.
China's media watchdog ordered AcFun to terminate its operation last June due to "many politically-related programs that do not conform with state rules and social commentary programs that propagate negative remarks and opinions," the statement said. AcFun's website host Alibaba Cloud shut down the site and the related iOS and Android apps for 11 days in February due to alleged financial issues.
Since Kuaishou has a large customer base, while AcFun targets young users and boasts a strong community culture, the deal can help Kuaishou enrich its customer base, the report said.
AcFun is known for its 'bullet-screen' function which allows watchers to add sticky comments on the screen at particular parts of the video.
Editor: Emmi Laine