(Yicai Global) Oct. 11 -- Chinese Tencent-funded video-sharing site Bilibili has set up a separate unit to run its e-sports operations to dive deeper into the booming business.
With the new arm, Bilibili will better cover the contents within the global e-sports sector and focus more on its e-sports business, the Shanghai-based firm said in an internal document that was leaked to social media today.
Bilibili's Chief Executive Chen Rui will be the chairman of the subsidiary and Chen Youyou, who once served as the CEO of live-streaming platform Zhanqi TV, will become the president of the competitive gaming company.
Bilibili announced a set up of a related club named Bilibili Gaming last year, while entering a Chinese group of professional teams who play League of Legends, a multiplayer online battle arena video game.
The firm will also manage one of the two new Chinese teams that will participate in US gaming firm Blizzard Entertainment's Overwatch League, which is an e-sports league for video game Overwatch.
Bilibili also said this week that it will partner with US e-sports organization Clutch Gaming, which is owned by the National Basketball Association's professional team Houston Rockets.
Bilibili E-Sports Information Technology was formally set up in February with the registered capital of CNY1 million (USD144,000), according to the registration materials.
China's internet giant Tencent Holdings said on Oct. 3 that it will increase its stake in Bilibili to about 12 percent by investing USD317.6 million in cash, which is likely to fuel the expansion in the gaming market.
The video streamer's revenue for the second quarter of this year rose 76 percent to reach CNY1.03 billion (USD151 million), its earnings report shows. Takings from games grew 61 percent to CNY791 million (USD116.1 million).
Editor: Emmi Laine