Video-Sharing SOE Gets Capital Infusion

Caixin: Video Site Mango Excellent Gets Cash Injection to Take on Private Peers

The Shenzhen-listed Mango Excellent Media Co. Ltd. [300413] announced earlier this week that it has raised (link in Chinese) 2 billion yuan by selling shares to two state-owned investors — a subsidiary of telecom operator China Mobile Ltd. and a subsidiary of China Life Insurance Corp. Ltd.

China Mobile has become Mango’s second-largest shareholder with a 4.37% stake after subscribing to shares valued at 1.6 billion yuan, while China Life Insurance had 1.21% after an investment of 400 million yuan. The stake of the company’s largest shareholder, the state-owned Hunan Satellite TV, will be diluted to 64%.

This comes a day after Caixin reported a private broadband provider will sell its subscriber business to an SOE and focus on selling services to SOE customers.