Opera software, owners of the Opera browser have announced that a Chinese group has offered to buy the company for $1.2 billion. The Chinese group consists of Kunlun Tech (a gaming company) and Qihoo 360 (an antivirus- and browser-maker) both of whom are backed by two Chinese private equity firms.
According to Recode, the board totally agrees with the offer and is currently recommending to its shareholders that they approve the takeover. Opera’s chief executive Lars Boilesen was also quoted as saying; “We believe that the Consortium, with its breadth of expertise and strong market position in emerging markets, will be a strong owner of Opera. The Consortium’s ownership will strengthen Opera’s position to serve our users and partners with even greater innovation, and to accelerate our plans of expansion and growth.”
Opera was founded in 1995 and launched its same name browser in 1997. However, though it is best known for its browser, it was never a market leader in the over-saturated Western market. For this reason, the company has made considerable efforts in advertising and data compression in recent years.
This acquisition is the latest in a series of big foreign acquisitions by Chinese companies who in January of 2016 announced plans to acquire over 60 foreign companies worth $68 billion.