Alibaba invests in Youku Tudou
Alibaba has made a major investment in Youku Tudou, which is the Chinese equivalent of YouTube. A $1.2 billion investment was put into Youku by Alibaba Group Holding Limited and private equity company Yunfeng Capital.
Yunfeng was actually founded by Alibaba executive chairman Jack Ma. Alibaba will get a 16% stake and Yunfeng will get a 2% stake in Youku. Alibaba CEO Jonathan Lu, will get a seat on the Youku board of directors.
Youku Tudou was created in 2012 by a merger between two competing video websites and is a publicly traded company.