Tencent extends reach to China’s young online comics audience, with US$125 million investment

The internet giant has invested in popular comics app operator Kuaikan World (Beijing) Technology

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Internet giant Tencent Holdings’ latest investment extends its reach to millions of young online comics users on the Chinese mainland. Photo: Simon Song

Published: 8:00am, 29 Aug 2019Updated: 8:09am, 29 Aug 2019

Tencent Holdings, which runs China’s biggest video games and social media businesses, has made a US$125 million investment in Kuaikan World (Beijing) Technology, a move that will see the two companies cooperate in the country’s vast online comics market.

The deal, which the two firms announced separately on Tuesday through their WeChat channels, will provide fresh funding to support authors on Kuaikan World’s platform, which runs a comics app and connects a growing community of Chinese online comics fans.

Kuaikan World and Tencent will also collaborate in the areas of user traffic and intellectual property, according to Chen An’ni, founder and chief executive of the online comics start-up.

She said Kuaikan World will remain an independent operation, dismissing speculation that her company had been acquired by Shenzhen-based Tencent.

A screenshot of Kuaikan World (Beijing) Technology’s website shows a variety of original content made available through the company’s app, Kuaikan Comics. Photo: Handout

The two companies did not provide the new valuation of Kuaikan World, following Tencent’s investment. The start-up raised US$177 million in its Series D financing round in December 2017, which was the largest funding deal in China’s comics industry at that time, according to the company.