[Caihua News] The Wall Street Journal quoted people familiar with the matter and revealed that Chinese tech giant Tencent (00700-HK) will invest 150 million US dollars in VipKid to push the current round of financing close to completion, even though some current and potential investors are concerned about the business model of this Chinese online education company.

According to people familiar with the matter, Chinese tech giant Tencent Holdings Ltd. (Tencent Holdings Ltd., 0700.HK, TCEHY, TCEHY, abbreviation: Tencent) will invest 150 million US dollars in VipKid to push the current round of financing close to completion, although some current and potential investors are concerned about the business model of this Chinese online education company.

Beijing-based, rapidly growing VipKid has received support from investors such as venture capital firm Sequoia Capital (Sequoia Capital) and retired basketball star Kobe Bryant (Kobe Bryant). Through its platform, around 70,000 teachers living in the US, Canada, and elsewhere provide online English courses to more than 600,000 children between the ages of 4 and 15, mostly living in China.