Cheetah Mobile acquires 35.17% equity interest of Beijing OrionStar

Cheetah Mobile announced that the company, through two of its wholly-owned subsidiaries, has acquired an aggregate of 35.17% equity interest of Beijing OrionStar Technology Co., Ltd. from certain of the existing shareholders of Beijing OrionStar, including Mr. Sheng Fu, chief executive officer and director of the company. The company previously held a 37.74% equity interest in Beijing OrionStar prior to the completion of the Transaction. In connection with the Transaction, the company paid an aggregate cash consideration of approximately $37.6M to the selling shareholders of Beijing OrionStar, including approximately $1.1M to Mr. Fu. The Transaction was approved by the board of directors of the company and the audit committee of the Board. Upon completion of the Transaction, Sheng Fu ceased to be a direct shareholder of Beijing OrionStar and the company’s equity interest in Beijing OrionStar increased to 72.91%. As a result, the company will consolidate the financial results of Beijing OrionStar into its consolidated financial statements starting in December 2023.