About time: Chinese online video sites are merging. On Monday afternoon, rivals Youku and Tudou, both listed in New York, announced a $1bn all-stock merger. The combined company will go by the inventive moniker Youku Tudou Inc, which will continue to be listed in the US.
Since Tudou’s IPO last summer, shares have fallen 47 per cent. Youku, meanwhile, has dropped from $67 a share to just $25 in less than 12 months. Neither company has yet turned a profit, though Tudou did report a narrowing quarterly loss earlier this month. Youku, due to report on Wednesday, is also expecting to show a loss.
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