Sam is a professional trader and the lead stock market news writer at AskTraders. After starting his career in the forex market, Sam now focuses on gold and stocks with a preference for fundamental and macroeconomic analysis.
Shares of Aurora Mobile (NASDAQ: JG) are rising premarket after the company announced it has entered into a partnership agreement with Chinese short video social media platform Kuaishou Technology.
The partnership will improve advertising monetisation efficiency with Kuaishou leveraging Aurora's artificial intelligence and advanced analysis technologies to help brands and performance-based advertisers target potential customers, enhance advertising conversion rate, and reduce operational costs, and build the relationship between Kuaishou and advertisers on its platform.
With its rival, TikTok leading the way, the short-form video market continues to experience tremendous growth. Short-form video advertising that features high traffic and conversion rates has become a preferred marketing approach for various brands and performance-based advertisers in recent years.
Kuaishou began trading on the Hong Kong stock exchange on Friday with its shares soaring nearly 200% to open that 338 Hong Kong dollars. The company priced its shares at 115 Hong Kong dollars with the initial public offering raising 41.28 million Hong Kong dollars.
Aurora said it's advertisement SaaS services, based on desensitisation resources and machine learning algorithms, feature time-sensitive labelling capabilities with industry coverage which will customise user labels according to Kuaishou’s requirements and adapt to the social media platform’s labelling settings.
The deal will see Aurora benefit from a revenue share agreement based on advertising revenues allocated to Kuaishou if Aurora's labels are used by advertisers on the platform.
Aurora mobile shares surged 126.88% higher premarket on Friday at $9.03.
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