Online literature provider China Literature has agreed to pay $10.5m for a 20% stake in Thailand-based literature and lifestyle media platform developer OBU, investing through primary and secondary share deals.
China Literature’s international-focused subsidiary, Cloudary, is acquiring a 6.5% stake in the company, in addition to a 10.2% stake from Kapok Tree, a subsidiary of internet group Tencent, and a 3.2% stake from digital content provider Ookbee, according to a stock exchange filing.
Formed as a joint venture between Tencent and Ookbee, OBU runs three platforms which respectively focus on user-uploaded fiction, chat-based stories and professionally generated content.
Cloudary will distribute both user and professionally generated fiction through OBU and will also seek to broker deals with other international content providers. Ookbee is retaining a 51% stake in the company while Tencent will own 29% and Cloudary 20%.
