Japanese cellco Softbank has acquired a 35% stake in China-based Synacast Corporation, also known as PPLive, a provider of online TV services.
“Online video market in China and worldwide is growing rapidly. Softbank and PPLive will strive to contribute…
Japanese cellco Softbank has acquired a 35% stake in China-based Synacast Corporation, also known as PPLive, a provider of online TV services.
“Online video market in China and worldwide is growing rapidly. Softbank and PPLive will strive to contribute to the further development of the market in China and international through the capital alliance and the joint business development,” read a Softbank statement.
According to TeleGeography, the Japanese company paid about Y20bn (US$245m) for the stake via a private placement of shares.
It’s not the first time Softbank has invested in a Chinese company. The cellco already has stakes in e-commerce firm Alibaba Group and Oak Pacific Interactive, the parent company of social networking and gaming sites RenRen and Kaixin. But Softbank is also focusing on other markets.
In an interview with TelecomFinance last month, Tetsuzo Matsumoto, senior executive vice president at Softbank Mobile, said: “Mobile Internet and Asia are two key words for us. Softbank is already very successful in investing in several companies in China. We are now interested in expanding to other Asian countries, especially India.”
This stake acquisition comes as Softbank recently lifted its full-year operating profit forecast by 20%, because of the popularity of the iPhone and iPad.
The company could not be reached for comment before the press deadline.
