Benzinga | Aug 11, 2021 09:27AM EDT

Bilibili Invests RMB500M In China Telecom's Equity

* Bilibili Inc's (NASDAQ:BILI) PRC subsidiary Shanghai Bilibili Technology Co., Ltd is investing RMB500 million in China Telecom Corp Ltd's (OTC:CHJHF) newly issued shares under a strategic investor allotment agreement and a sponsor for China Telecom's proposed offering of shares in conjunction with its listing on the Shanghai Stock Exchange.

* China Telecom is an integrated intelligent information service provider in the PRC with full-service capabilities.

* China Telecom allocated 110.4 million of the newly issued shares to Shanghai Bilibili based on an offering price of RMB4.53 per A-share.

* Shanghai Bilibili will be subject to 36 months of lock-up obligations over the shares allocated to it.

* Additionally, Shanghai Kuanyu Digital Technology Co., Ltd., a Bilibili affiliate, agreed to pursue collaboration opportunities with China Telecom in user growth, brand promotion, IDC, and cloud services.

* Price Action: BILI shares traded higher by 0.64% at $80.70 in the premarket session on the last check Wednesday.