Suning Commerce (SZ:002024) announced that it fully acquired group-buying site Manzuo for nearly $10 million (source in Chinese), continuing its expansion into Internet industry after becoming the largest shareholder of peer-to-peer video streaming service PPTV last year.

In addition to maintaining independent operation, Manzuo will also take over the group-buying and travelling businesses under Suning. Feng Xiaohai, founder of Manzuo, will be named as the head of Suning’s local life sector. The acquisition procedure will be completed by the end of this March.

The market valuation of Manzuo is much lower than Nuomi’s $300 million. Group-buying has become a money-burning business after initial booming development and few have survived the sluggish market. KPCB, an early-stage investor of Manzuo, exists after the acquisition. The number of domestic group-buying sites shrank to 213 from 281 in September last year, according to research report released by group-purchasing navigation website Tuan800.com.

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Emma Lee

Emma Lee is Shanghai-based tech writer, covering startups and tech happenings in China and Asia in general. We are looking for stories related to tech and China. Reach her at lixin@technode.com.