Baidu closes its $1.85 billion deal for 91 Wireless to create a 69 million daily app download giant
The all-cash deal is now valued at $1.85 billion (down from $1.9 billion), with 91 Wireless' largest shareholder NetDragon taking $1.1 billion of the total.
Baidu said that combining its and 91 Wireless' distribution channels creates an organisation that had a daily reach of 69 million app downloads during July 2013.
91 Wireless will continue to operate under its existing management team as an independent company.
"The acquisition of 91 Wireless significantly strengthens our mobile app distribution capability, and further enhances Baidu's prime position in China's thriving mobile ecosystem," said Robin Li, Baidu's chairman and CEO.
"91 Wireless is not only a leading app market, but just as importantly, is a leading operator of mobile games, which are seeing tremendous growth in China.
"This acquisition reinforces Baidu's commitment to growing and fostering the developer community, establishes Baidu's position in the flourishing mobile game segment, and offers Baidu another strong channel to deliver its market-leading app offerings."