Baidu stripping negative assets 2 billion 800 million sale of qiyi

year Internet merger of the first case, burn burned for 6 years, Baidu finally remove the Iqiyi

12 evening, Baidu announced that the board received Baidu CEO Robin Li and Iqiyi CEO Gong Yu for Iqiyi stake in the preliminary non binding proposal, Robin Li and Gong Yu will acquire 100% stake in Iqiyi. This is the monkey, the first case of Internet mergers and acquisitions, but also to the end of the year after the acquisition of Youku potatoes group Alibaba, the domestic video industry in another major mergers and acquisitions.

 

drawing ginger by

the outflow of the previous Gong Yu said in an internal e-mail, "after privatization, Iqiyi will seek appropriate time in domestic market". But Iqiyi PR person in charge of 13 evening reply WCC reporter said, "the offer is not private, because just bought shares of Baidu shares, millet is not affected, Iqiyi is not a listed company."

industry insiders believe that with Iqiyi gradually "privatization", Youku potatoes, video and music video Tencent and other domestic video industry is basically in accordance with their respective "roadmap" travel experience "copyright wars", the video industry began to take the road of differentiation, self-made drama and other innovative content in the network are constantly emerging situation in 2016, the video industry is better "".

Iqiyi

sold $2 billion 800 millionBaidu

on the 12 day of the announcement, Baidu CEO and Iqiyi CEO Robin Li Gong Yu’s preliminary non binding proposal, the planned acquisition of Baidu currently holds 80.5% of the total outstanding shares of Iqiyi. Excluding cash and debt transactions (cash and debt is excluded in the contract), the transaction valuation of $2 billion 800 million for Iqiyi.

the outflow of the previous Gong Yu said in an internal e-mail, "after privatization, Iqiyi will seek appropriate time in domestic market". But Iqiyi PR person in charge of 13 evening reply WCC reporter said, "the offer is not private, because just bought shares of Baidu shares, millet is not affected, Iqiyi is not a listed company."

public information, Iqiyi was founded in early 2010, from the beginning of 2011, Baidu began to subscribe for shares of Iqiyi and gradually become the single largest shareholder of the latter; in 2013 to $370 million acquisition of another video website PPS and led to its merger with Iqiyi, Baidu for Iqiyi in 2014, the introduction of millet investment at the same time, an additional $300 million investment in Iqiyi the.

Baidu dumped burden

According to Baidu

released in 2015 second, the third quarter earnings, Baidu in the two quarter in the content of cost accounting for the proportion of revenues were 5.1% and 5%, and the cost is mainly because of Iqiyi content cost growth."

"if the transaction is successful, Baidu can

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