The group of Chinese companies including Qihoo 360 and Kunlun Tech that bid USD 1.2 billion for Internet browser developer Opera has confirmed the proportion that each party will pay.
Internet security company Qihoo 360 is the smallest stakeholder, contributing USD 48 million. Kunlun Tech, a game developer, will pay 168 million, with the remaining 80% (USD 984 million) coming from the Golden Brick Silk Road Fund Management of China.
The USD 1.2 billion bid is a generous offer for 56% higher than Opera’s current valuation.
Opera, based in Norway, is the 6th most-used web browser in the world, and one of the first browsers made for mobile devices. Though it has fallen behind competitors, it is still widely used in developing countries. It is the top browser in Africa, third most popular in Russia and India, and 4th in Indonesia. It announced that it was considering selling last year due to slow ad sales.
The acquisition is part of Qihoo 360’s international strategy. It can combine its browser with Opera, taking advantage of its 350 million user base, and also strengthen its mobile performance using Opera technology.
Kunlun Tech, which bought 60% of dating app Grindr last month, can potentially push its games through Opera apps to increase its user base abroad.
The deal is expected to be completed before the end of June, and is subject to approval by government and shareholders.
(Photos from Baidu Images)