NEW YORK (TheStreet) -- Shares of Alibaba (BABA) - Get Report were edging up in pre-market trading on Monday as the company combines its media and entertainment units and announces a new projects fund of more than 10 billion yuan or $1.48 billion, Reuters reports.
The Chinese e-commerce company will consolidate its media units including video site Youku Tudou, mobile browser UCWeb, film company Alibaba Pictures and Alibaba's sports, games, literature, music and digital entertainment businesses.
The new division, called Alibaba Digital Media and Entertainment, will be led by former UCWeb CEO Yu Yongfu.
Youku Tudou CEO Viktor Koo will head a committee to oversee the new projects fund, which will be used for investment projects across all of Alibaba's media and entertainment businesses, Reuters notes.
Separately, TheStreet Ratings objectively rated this stock according to its "risk-adjusted" total return prospect over a 12-month investment horizon. Not based on the news in any given day, the rating may differ from Jim Cramer's view or that of this articles's author.
TheStreet Ratings rated this stock as a "hold" with a ratings score of C.
The company's strengths can be seen in multiple areas, such as its robust revenue growth, solid stock price performance and good cash flow from operations. However, as a counter to these strengths, we find that the growth in the company's net income has been quite unimpressive.
You can view the full analysis from the report here: BABA