Youku Inc. (YOKU) gained for the first time in three days after the owner of China’s most popular online video site received a license to offer government-authorized content on computers, tablets and smartphones.
American depositary receipts of Youku, which plans to acquire smaller competitor Tudou Holdings Ltd. (TUDO) in a stock deal valued at about $893 million, rose 1.9 percent to $22.47 at 12:40 p.m. in New York after rising as much as 4.4 percent in earlier trading. Tudou advanced 2 percent to $30.74.
China’s General Administration of Press and Publication granted Youku the license on March 28, the Beijing-based company said in a statement distributed by PRNewswire today.
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