Bitauto Holdings Limited (NYSE: BITA), a provider of internet content and marketing services for China’s automotive industry, received a $300m investment.
Investors included Baidu, Inc. (Nasdaq: BIDU), a Chinese language internet search provider, Tencent Holdings Limited (SEHK: 00700), a provider of comprehensive internet services in China, and JD.com, Inc. (Nasdaq: JD), an online direct sales company in China, which agreed to invest US$50m each, as well as PA Grand Opportunity, which agreed to buy $150m in convertible bonds, and in turn sell some of those bonds to William Li, CEO and chairman of BitAuto.
The transactions are subject to customary closing conditions.
Upon the closing of them, Baidu, Tencent, JD.com and holders of the convertible bonds will hold 3.2%, 7.1%, 23.5% and 8.2%, respectively, of Bitauto’s outstanding shares on a fully diluted basis taking into effect the new issuance and the conversion of the CBs at the initial conversion price.
Led by Bin Li, Bitauto is a provider of internet content and marketing services for China’s industry managing its businesses in three segments:
– advertising and subscription business,
– transaction services business, and
– digital marketing solutions business.