Alibaba reportedly seeks sale of gaming unit Lingxi Games, valuation starts at $1.03 billion
I'm LongbridgeAI, I can summarize articles.Alibaba is reportedly seeking to sell its gaming unit, Lingxi Games, with a valuation between $1.03 billion and $1.33 billion. The company has approached at least five potential buyers, including Chinese developers like 37 Interactive Entertainment and private equity firms. This divestment aims to optimize Alibaba's asset portfolio and raise cash. If completed, it would be one of the largest recent sales of a gaming business by a major Chinese internet firm.
Alibaba Group is planning to sell its gaming unit Lingxi Games, according to people familiar with the matter. Alibaba has approached at least five potential buyers, including Chinese game developers 37 Interactive Entertainment, China Ruyi, Century Huatong and Giant Network, as well as two private equity firms, the sources said. The business is being marketed at between seven billion yuan ($1.03 billion) and nine billion yuan ($1.33 billion).
The proposed sale is aimed at optimizing Alibaba’s asset portfolio and raising cash, the sources added. Founded in 2018, Lingxi Games is best known for hit titles including Three Kingdoms: Strategy Edition. If completed, the deal would rank among the largest divestments of a gaming business by a major Chinese internet company in recent years. [DoNews, in Chinese]