Alibaba Group Holding agreed to sell its gaming unit, Lingxi Games, to private equity firm Trustar Capital. The transaction is valued at approximately $1.5 billion. Lingxi Games CEO Zhou Bingshu confirmed the sale in an internal memo dated August 17, 2026.
CEO Eddie Wu is directing a corporate reorganization to divest non-core assets. This shift prioritizes strategic investments in artificial intelligence and cloud computing. Alibaba targets $100 billion in AI-related revenue over the next five years.
Lingxi Games is the developer of the flagship multiplayer title, Three Kingdoms: Strategy Edition.