Qutoutiao, China’s second-most popular news app and mobile content aggregator, has secured financing worth $171 million from Alibaba.
An announcement released last week has revealed that Alibaba is providing the investment in the form of a convertible loan to Qutoutiao.
With this injection, the company’s 11.4 million shares will be converted to $15 per American depositary shares, which roughly represents 4 percent of Qutoutiao.
The deal comes just six months after Qutoutiao raised $84 million in a downsized initial public offering through Nasdaq.
Chinese internet giant Tencent is also a shareholder of Qutoutiao, having led a $200 million Series B financing round in the company in March 2018.
Qutoutiao, which means “fun headlines”, applies artificial intelligence-based algorithms to deliver customised feeds of articles and short videos to users based on their unique profiles, interests and behaviours.