Internet group Tencent is investing $2bn to lead a $3bn series F round for China-based short-form video streaming platform Kuaishou, LatePost reported today.
Private equity firms Boyu Capital and Yunfeng Capital, venture capital firm Sequoia Capital and Singaporean government-owned investment firm Temasek are also participating in the round, which will reportedly value the company at approximately $28.6bn.
Founded in 2011, Kuaishou has created an online platform where users can upload, watch and share short-form videos. Its biggest competitor is TikTok, which is owned by digital media company ByteDance.
The series F round is expected to close before the end of this month and is intended to be the last Kuaishou raises before launching an initial public offering, according to LatePost.
Tencent led Kuaishou’s last round, a $350m series E that closed in early 2017 at a reported valuation of between $18bn and $20bn, and the corporate now owns nearly 20% of its shares.
The companies were said to be considering the formation of a joint venture that would focus on gaming content but are yet to confirm such an arrangement.
Internet company Baidu joined private equity firm China Media Capital to provide an eight-figure dollar amount for Kuaishou through a 2016 series C round that valued it at $2bn, and is reportedly looking to sell shares through the latest deal.
Sequoia Capital China and fellow VC firm DCM Ventures had invested $10m in the company in 2014, in the form of a series B round.
