Boston, MA 04/01/2014 (wallstreetpr) – Ku6 Media Co Ltd (ADR) (NASDAQ:KUTV) continues to soar in the market by highs of 55.72% after its majority shareholder, Shanda Media, announced it had signed a share purchase agreement with Xu Xudong for the sale of its 1,938,360,784 ordinary shares. Completion of the deal will see Shanda stake in Ku6 Media being reduced from 70.5% to 29.5%.
Xu is currently the majority shareholder of Sky Profit Limited which owns iSpeak, an online chatting platform. Xu plans to finance the purchase price of the shares through a loan from Shanda Media with the transaction expected to close by April 30.
Ku6 Unveils New Marketing Strategy
Ku6 Media Co Ltd (ADR) (NASDAQ:KUTV) generates most of its revenue from online advertising through an advertising agency agreement with Shengyue. The third quarter of last year saw the company launch a new strategy aimed at strengthening the company’s leading position in the UGC area of China, in an effort of attracting more advertisers.
Going forward, Ku6 plans to focus its goals in exploring new innovative business models under its core strategy. The strategy should enable the company leverage its influences on events with unique themes and encourage development in the mobile market as well as encourage an in depth collaboration with TV stations.
The Providence Service Corporation (NASDAQ:PRSC) Acquires Ingeus Limited
The Providence Service Corporation (NASDAQ:PRSC) has strike for the purchase of Australia based, Ingeus Limited, which operates in 10 countries and four continents. The agreement will see Providence acquiring Ingeus 100% in a cash deal worth $58 million. The acquisition is expected to be accretive of Providence earnings per share for the year with the deal expected to fully close in the second quarter of F2014.
Ingeus is a good addition to Providence as it has a strong management team with deep client relations as well as a proven track record. Providence has seen its adjusted EBITDA earnings grow by 26.6% and 18.7% over the previous two years respectively demonstrating its strong growth metrics. Ingeus generated 70% of its revenue in the UK last year with the remaining bunch coming from France and Saudi Arabia Markets.
The agreement will not affect Ingeus in any way, as its management team is expected to remain intact and mandated to carry out their day to day duties in running the operations of the entity.