Alibaba, Jack Ma P-E fund to invest $1.22B in Youku Tudou

|About: Alibaba Group Holding Lim... (BABA)|By:, SA News Editor

Alibaba (ABABA) and Yunfeng Capital, a private equity firm co-founded by Alibaba executive chairman Jack Ma, have agreed to acquire an 18.5% stake in Youku Tudou (YOKU) for $1.22B.

Alibaba and Yunfeng are paying $30.50 per American Depositary Receipt, or a 26.3% premium to Youku Tudou's close on Friday of $24.14.

Alibaba will hold around 16.5% in Youku and Yunfeng 2%.

The deal is the latest in a series of acquisitions that Alibaba has carried out over the past few months, spending at least $2.7B.

Youku Tudou ADRs are +14.75%. (PR)