AcFun, a China-based video streaming platform backed by telecoms and internet group SoftBank and video sharing platform Youku Tudou, has been acquired by short video platform Kuaishou, Reuters reported today.
Financial terms of the deal have not been disclosed. AcFun will continue to operate independently and retain its branding, with Kuaishou providing capital, technology and other resources.
Founded in 2007, AcFun operates a video sharing platform aimed at a young demographic, with features including real-time comments. Its content is focused around animated films, music, sports and games.
The platform was reported to have shut down in February 2018 after allegedly not paying its employees and letting the lease on its servers expire. However, Reuters noted that AcFun experienced a major server crash that took the service offline.
AcFun raised $60m in a January 2016 series B round led by SoftBank unit SoftBank China Venture Capital (SBCVC) that included unnamed additional participants. Youku Tudou had invested $50m in series A capital in 2015.
Digital content publisher Chinese All Digital Publishing was set to pay $36m for a 13.5% stake in AcFun in November 2016, buying shares from SoftBank unit SoftBank China Venture Capital (SBCVC) and Youku Tudou. It remains unclear if that deal ever closed.