Tencent-backed game live streaming site Huya raises over USD 300 million to keep expanding

New money to burn.

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Tencent-backed game live streaming site Huya raises over USD 300 million to keep expanding

Chinese game live-streaming site Huya has raised USD 326.4 million by offering 13.6 million American Depositary Shares to public investors at a price of USD 24, according to a prospectus it filed Wednesday.

One of the company’s shareholders also sold 4.8 million ADS at the same price, which is a little lower than USD 24.33, the closing price on Tuesday. But the proceeds will not go to the company.

Huya made a net loss of RMB 1.9 billion (USD 281 million) in 2018 and plans to use the new funds to invest in its content ecosystem and e-sports partners to continue expanding content genres and improving content quality, said the company in the prospectus.

As of December 31, 2018, Huya’s live streaming content covered over 3,300 games, including mobile, PC and console games.

After this share sale, live streaming site YY will hold 52.8% of Huya’s total voting power while gaming and social giant Tencent will control 40.1%.

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