Silk Road plant sells to Chinese online market
Posted On July 18, 2021
A plant belonging to a Chinese online marketplace is set to sell for $1.7 million in a deal that is the latest in a string of Chinese internet companies to make major acquisitions in the U.S. Silk Road, the Chinese government-backed online marketplace, is also expanding its reach by selling hardware and software to American consumers.
Silk road.com is set for a $2 million deal with an unnamed buyer who will be able to buy hardware and services for its platform, according to a report from The Wall Street Journal.
Silkroad.com, which was established in China in 2012, operates a website that sells items such as digital wallets, credit cards and other products that can be used to buy illegal drugs and other goods from overseas.
The site has also been the subject of criticism in recent years, including for selling counterfeit goods and a lack of privacy.
The company has been forced to shut down several times in recent months.
The WSJ reported on Wednesday that the deal is expected to close in a few days.
The website was once the world’s largest marketplace for illegal drugs, with nearly half a billion items on sale in October alone.
The report said the deal includes a 50 percent stake in Silk Road’s parent company.
SilkRoad.com said the buyer will receive a stake in the company in exchange for a portion of Silk Road revenue.
Silk Roads founder Craig Steven Wright has been an outspoken critic of the government’s crackdown on online drug sales and has urged its citizens to continue to use their mobile devices to buy drugs.
He has been imprisoned for his efforts to fight the crackdown.
Silk roads website is a key part of the company’s efforts to expand its reach beyond China.
The Wall St. Journal said the transaction was reported on Silk Road.com’s website as of Wednesday afternoon.
Silk.com declined to comment on the deal, and a representative for the company did not immediately respond to a request for comment.
Silk, which is based in China, has become a major player in the illegal drug market.
The Chinese government has stepped up crackdowns on the site in recent weeks, targeting websites that sell drugs.
Earlier this year, a court in China banned Silk Road from operating for two years.