BEIJING, Nov 9 (Reuters) – Chinese language on-line video firm Kuaishou (1024.HK) dismissed as unfaithful on Wednesday what it referred to as “on-line rumours” {that a} state broadcaster would have the ability to veto its enterprise choices after taking a stake in its Beijing unit.
The platform stated state-owned broadcaster the Beijing Radio and Tv Station (BRTS), had solely taken an fairness stake in one among its Chinese language models and the deal didn’t have an effect on the guardian firm.
The Beijing subsidiary was cooperating with the broadcaster on content-related issues, Kuaishou stated.
On Sunday, the U.S. tech publication the Info reported that the broadcaster’s latest acquisition of an fairness stake in Kuaishou’s home enterprise mirrored the rising affect of the Chinese language state over its tech sector.
BRTS’s 1% stake in Kuaishou’s Beijing unit was registered on Oct. 26, in response to enterprise registration data. On the identical day, a former government of a BRTS subsidiary, Shi Yesen, formally gained a board seat within the subsidiary.
BRTS didn’t instantly reply to a request for remark.
This isn’t the primary state funding in Kuaishou.
In 2018, the China Web Funding Fund (CIIF), which was established by the finance ministry and the Our on-line world Administration of China (CAC), the principle web watchdog, took an approximate 1% stake in Kuaishou’s Cayman-incorporated entity, in response to Kuaishou’s prospectus.
CIIF and its associates have been lively in investing in Chinese language web giants.
A CIIF-backed entity referred to as WangTouZhongWen (Beijing) Know-how took a 1% stake and a board seat in a key ByteDance China entity last year. One other CIIF subsidiary, WangTouTongDa, equally holds a 1% stake in a key unit of the Weibo social media platform, in response to authorities knowledge.
Reporting by Yingzhi Yang and Brenda Goh; Modifying by Clarence Fernandez, Robert Birsel
Our Requirements: The Thomson Reuters Trust Principles.
