Benzinga | Feb 26, 2021 10:59AM EST

Vinco Ventures, Zash Acquire 80% Stake In TikTok Rival Lomotif For $125M: Bloomberg

* The investor group led by Vinco Ventures, Inc. (NASDAQ: BBIG) and U.S.-based entertainment, content, and distribution company ZASH Global Media and Entertainment Corporation, who planned to acquire an 80% stake in TikTok and Kuaishou rival Lomotif Private Limited, will pay $125 million for the deal, Bloomberg reports.

* Vinco and ZASH had inked a merger agreement last month to create and accelerate live-streaming content, video-sharing, distribution, and production.

* ZASH is led by financier and former Moviepass Chairman Ted Farnsworth, Music.ly TikTok and Triller innovator Jaeson Ma, and early Triller visionary and board member Vincent Butta.

* Lomotif CEO Paul Yang will continue to lead Lomotif upon the acquisition.

* Investment bank BTIG represented ZASH on the buy-side of the transaction with Palladium Capital as fundraise advisor.

* Price action: BBIG shares are up 1.09% at $2.8 on the last check Friday.