Alibaba Buys Luxury E-commerce Platform Kaola for $2 Billion
Alibaba Group Holding Ltd. (NYSE: BABA) has finalized the acquisition of the online luxury retailer Kaola from NetEase inc. (Nasdaq: NTES) for $2 billion.
NetEase said in an earlier statement that Kaola will continue to operate under the same brand.
The Chinese tech company also said that Alibaba, joined by private equity firm Yunfeng Capital, will invest approximately invest $700 million in NetEase Cloud music.
It was reported earlier in the week that Alibaba plans to close the deal with NetEase.
Alibaba was trading down 2 percent, at $177.08 per share, intraday on Friday. NetEase was up 2 percent, at $276.10 per share.