(Yicai Global) Nov. 1 -- Chinese video platform Bilibili has said that market reports about an investment from Alibaba Group Holding are not true.

As an US-listed entity, Bilibili will inform if it expands its share capital, so the rumors are groundless, the Shanghai-based firm said in a reply to online news outlet Sina yesterday. Alibaba did not comment on the case.

The investment has been completed, an insider told another Chinese news outlet 36kr earlier. Alibaba's investment was just like Tencent's earlier one in October, another insider said. 

As the word spread, Bilibili's share price surged with an increase of 7 percent to USD14 yesterday. The stock pulled back to trade at USD13.50 at 1.25 p.m. today.

Tencent invested an additional USD317.6 million in Bilibili during the country's national holiday between October 1 and October 7 to have its shareholding ratio reach 12 percent. The pair teamed up in the fields of anime, comics and games on Oct. 25.

Editor: Emmi Laine