China’s ‘equivalent to YouTube’, Youku Tudou, has been bought for approximately $3.7bn by eCommerce behemoth Alibaba.

The deal was first proposed on 15 October and, once completed, will take the platform private, according to the South China Morning Post.

Youku Tudou’s board of directors have agreed on $27.60 per American depository share, more than 35% over the closing price proposed on 15 October and 13% over the trading price on 5 November, according to the Wall Street Journal.

Before the agreement, Alibaba owned 18.3% of Youku Tudou following a deal in May 2014 in partnership with private equity firm Yunfeng Capital for $1.2bn.

According to Barclays data, Youku Tudou is strong in the mobile market, in third place for most time spent on mobile apps in China, with more than 500 million monthly unique visitors and 170 million daily visitors.