Tiange Interactive invests 100 million yuan in pepper live broadcast to achieve complementary resources such as technology market

According to people familiar with the matter, Tiange Interactive will invest in live watch broadcasts in the near future to achieve complementary resources in various aspects such as technology, channels, performing arts companies, and market coverage, with an investment scale of hundreds of millions. At present, the A-round valuation of Zanthoxylum bungeanum live broadcast is about 1.5 billion yuan, with a monthly flow of 300 million yuan.

According to people familiar with the matter, Tiange Interactive will invest in live watch broadcasts in the near future to achieve complementary resources in various aspects such as technology, channels, performing arts companies, and market coverage, with an investment scale of hundreds of millions. At present, the A-round valuation of Zanthoxylum bungeanum live broadcast is about 1.5 billion yuan, with a monthly flow of 300 million yuan.

According to people familiar with the matter, the financing scale of Zanthoxylum Live Broadcast may exceed hundreds of millions of yuan, and Tiange Interactive may be just one of them. At the same time, it is not ruled out that Tiange Interactive may increase its capital in Zanthoxylum Live Broadcast in the future. At present, the annual flow of pepper live broadcast has reached about 3 billion yuan, but it still does not have independent profitability. Tian Ge Interactive's investment in pepper live broadcast may be due to the complementarity of live broadcast resources from both parties.

Both parties belong to the live broadcast industry, but have different resources.

Zanthoxylum bungeanum Live Broadcast was launched in June 2015. It is a mobile live broadcast platform incubated by 360 and personally led by Zhou Hongyi. The product focuses on young users in first-tier cities, and mainly outputs live content about popular stars, amateur and professional anchors, business elites and other groups. Film and television, sports and business celebrities including Fan Bingbing, Zhang Jike, Fu Yuanhui, Lei Jun and other film and television, sports and business celebrities have all opened live programs on Zanthoxylum platform.

According to official data, as of June 2016, the daily active users of Zanthoxylum bungeanum exceeded 5 million, and the monthly active users exceeded 10 million. In October 2016, Zanthoxylum Live Broadcast announced that it had received 300 million yuan in Series A financing, including 100 million yuan in initial construction investment and 60 million yuan in 3.6 million yuan in investment.

Different from the newborn Zanthoxylum bungeanum live broadcast, Tiange Interactive's live broadcast platforms such as Meow Broadcast and 9158 Live Broadcast target users in second-and third-tier cities. The content positioning is more popular. While live broadcasts, they emphasize social interaction. The users are mainly young people in second-and third-tier towns. According to Tian Ge Interactive's financial report, benefiting from the live broadcast market, Tian Ge Interactive's market value reached HK$7.7 billion in 2016. The total revenue for the whole year of 2016 reached 834 million. The adjusted net profit for the fourth quarter increased by 320.2 year-on-year.

If the news that Tian Ge Interactive invests in live watch broadcasts is true, the two will likely realize the complementary advantages of the new and old live broadcast platforms in terms of technology, channels, anchor resources, market coverage, users and other aspects.

Prior to this, Tiger Ya completed the US$75 million Series A, and Yingke's valuation reached 7 billion

yuan. Before the news that Tiange Interactive invested in Zanthoxylum Live Broadcast, Xuanya International announced that it would acquire Yingke Live Broadcast at a valuation of 7 billion yuan. More than 50% of the shares. YY's Tiger Ya Live Broadcast received US$75 million in Series A financing, led by Ping An Insurance Overseas (Holdings) Co., Ltd. of China, with Gao Rong Capital, Yilian Capital, Morningside Venture Capital, Chairman of the Board of Directors of Huanju Times Li Xueling, and CEO of Tiger Ya Live Broadcast Dong Rongjie participated in the investment.

Some industry insiders said that Volcano Video, Fast Hand, Yingke, Tiger Ya and Tiange Interactive have all experienced recent business or capital changes. Driven by capital and platform competition, the reshuffle of the live broadcast industry is accelerating in 2017. The industry landscape may begin to rewrite this way.

Editor: Nancy