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What a merger does to TUDO, YOKU

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question_2 March 12, 2012 (Chinavestor) News that China's top two online video companies will merge sent shares gangbusters at the open on Monday. Shares of Tudou Hold. (NASDAQ:TUDO) surged as much as 175% before a pullback while Youku Inc. (NYSE:YOKLU) jumped over 20%. The combined two will have a third of China's online video market yet have to prove that they can be profitable. So far both Youku Inc. (NYSE:YOKU) and Tudou Hold. (NASDAQ:YTUDO) were burning cash in the past two years.

 

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