The ali stake in sina weibo was does not exclude the possibility of buy-out

the author: 方堃

the Chinese Internet’s blockbuster deal this year or will be announced soon. Alibaba stake in sina weibo rumors have been circulating for a long time, tencent technology that sina or will soon announce capital cooperation with alibaba, do not rule out the possibility of alibaba buy-out sina weibo.

multiple sources to tecent science and technology, said alibaba group in weibo negotiations are coming to an end, is soon expected results. Late last year that there are rumours that alibaba will take a stake in sina weibo, which is about us $20 – $3 billion valuation.

pick up close deals, according to people in the process of negotiating differences is that alibaba hopes of buy-out sina weibo, the sina has hope alibaba group, just as a strategic investor in, and in the business layer surface depth cooperation with alibaba group. Earlier rumors said that alibaba May 4 – the price of $600 million to get weibo 15% – 20% of the shares. But neither side to this rumor.

analysts generally believe that sina weibo help compensate for alibaba’s social and mobile Internet, the huge user group of the combination of the latter electric business, has a rich imagination.

according to the understanding of science and technology of tencent, alibaba and sina weibo at the business level already began to explore the possibility of depth cooperation. Recently, weibo cooperation with taobao launched products recommend “window”, based on weibo users social relation and interest graph for recommendation. This is sina weibo on commercial made an important attempt. Sina insider said, this is sina weibo since founded one of the biggest foreign cooperation projects.

sina weibo open data show that it has more than 500 million users, is one of the most active social media platform in China. Sina reported in 2012, the year weibo revenue of about $66 million, but the spending of $93 million, are losing money. Sina weibo commercialization is also in the past two years, a difficulty in sina.

alibaba in recent years in the field of mobile Internet and social networking, O2O strengthen layout, its investment companies including UC gifted as, devoted to stranger, tintin map, America, etc. Alibaba also strong cash flow, the cash could be more than $5 billion, making it possible large-scale merger and acquisition or investment transactions.

sina shares from Monday’s $46.3, up to now about $50, up more than 10% in a week.

source: tencent technology