While investors wait for the official date, the Chinese e-commerce firm has been on a spending spree. In the last year Alibaba has spent nearly $3.5 billion on acquisitions covering various industries.
And this week saw another billion-dollar purchase…
Yesterday, Alibaba Chairman Jack Ma announced that his investment firm spent $1.1 billion on a 20% stake in the Chinese cable-TV company Wasu Media Holding Co. Shares of Wasu, which trade on the Shenzhen Stock Exchange, jumped more than 10% following the news.
The Chinese government requires Internet-television companies to acquire licenses before they can broadcast in the country, and Wasu was one of the first companies to do so. Wasu had already partnered with Alibaba last July to develop set-top boxes.
Wasu announced in its statement that it currently has more than 20 million subscribers.
"Alibaba and Wasu Group are optimistic about the future development of China's media industry and will support each other in areas such as original content development, video communication, games, music, education, cloud computing, big data, as well as other areas of future exploration and investment in the media industry," Alibaba officials said.
The partnership brings Alibaba further into the Chinese media market. Last month, Alibaba spent more than $800 million to acquire a 60% stake in ChinaVision Media Group Ltd. That acquisition, like the Wasu acquisition, bolsters the entertainment options Alibaba offers its customers.
The Wasu deal is another attempt by Alibaba to diversify its portfolio of products and services ahead of its upcoming IPO date. It's also a shot at Alibaba's biggest competitors…
Alibaba's Acquisition Strategy Heats Up Before IPO Date
Alibaba and rival Tencent Holdings Ltd. have both dug deep into their wallets to outdo each other in 2014…