The Gulf Time Newspaper One of the finest business newspapers in the UAE brought to you by our professional writers and editors.
Bloomberg
Chinese live-streaming company YY Inc. is planning to spin off and list its eSports video platform Huya Broadcasting in the US, people familiar with the matter said.
The Twitch-like streaming division is seeking to raise at least $200 million this year to fund expansion in a fledgling but heated sector, the people said, requesting not to be named because the matter is private. YY’s American depositary receipts gained as much as 5.5 percent in New York.
Live-streaming of games has attracted the attention of technology giants, with Alphabet Inc.’s Google, Amazon.com Inc., Alibaba Group Holding Ltd. and Tencent Holdings Ltd. all pushing into the sector. The Chinese market alone is expected to generate 3 billion yuan ($462 million) of revenue and attract 140 million users this year, according to IResearch, as users track the
online exploits of gamers within PlayerUnknown’s Battlegrounds or League of Legends.
Huya’s appeal in an IPO may
be enhanced by its improved financial performance, and a leading position in terms of traffic among rival platforms.
Operating losses at the business narrowed to 10.1 million yuan in the third quarter compared with 159 million yuan a year earlier, Jin Bing, the company’s chief financial officer, said during YY’s earnings call in November. He declined to comment on whether the company harbored IPO plans.