The money used for the purchase of a stake in Wasu Media Holding Co. Ltd. (000156.CN) by Alibaba Group chairman Jack Ma and his partners came from loans extended by Zhejiang Tmall.com Technology Co. Ltd., a unit of Alibaba, the 21st Century Business Herald reported Thursday, citing an unnamed partner of Dacheng Law Firm.
Wasu Media announced late Tuesday that it planned to sell a 20 percent stake through a private share placement to Hangzhou Yunxi Investment, which is owned by Ma, Alibaba co-founder Simon Xie and Giant Interactive Group Inc. chairman Shi Yuzhu, for 6.54 billion yuan (US$1.06 billion).
Zhejiang Tmall on Tuesday signed an agreement with Xie to lend him up to 6.54 billion yuan with an annual compound rate of 8 percent, the source said.
Xie owns a 99.0055 percent stake in Yunxi Investment, according to the report.
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