Tencent is purchasing shares worth $317.6 million in video and esports company Bilibili.
The company's video-sharing site covers areas such as video content, live broadcasting and mobile games.
The Chinese publishing giant will acquire just over 25 million Class Z ordinary shares at $12.67 apiece. In total, Tencent is set to acquire 12.3 per cent of Bilibili.
Thanks to Tencent’s investment, price-per-share in Bilibili peaked at $15.48 yesterday morning, up from £13.31 the day prior.
Besides running a Chinese-language video-sharing site, Bilibili owns pro-level League of Legends team Bilibili gaming. It will also take ownership of a new Huangzhou team in the Overwatch League’s second season.
This purchase may be a part of Tencent’s largest reshuffle in six years, made to combat competition from regional rival Alibaba. Getting involved with a Chinese video-sharing site certainly fits into plans to “further explore the integration of social, content and technology that is more suitable for future trends.”
The games publisher has also faced increased pressure from Chinese regulations, with a freeze on new game releases dropping Tencent’s overall value by $20 billion.
This story was originally published on our sister-site PCGamesInsider.biz.