Chinese internet stocks are on the rise today after Sina Corporation (NASDAQ:SINA) paid $66 million for a 9% stake in Tudou. Tudou is China’s (NYSE:FXI) second-largest online video company by revenues.

In the second quarter, Sina (NASDAQ:SINA) had a 7.3% share of China’s online advertising revenues. That put the company behind Baidu (NASDAQ:BIDU) and Alibaba, but ahead of Google (NASDAQ:GOOG). The purchase of Tudou helps Sina expand their reach into online video advertising as the sector will ultimately consolidate.

Shares of Chinese internet stocks are popping on the news:

Sina Corporation (NASDAQ:SINA) is up over 8%, Baidu (NASDAQ:BIDU) is up over 3%, Sohu.com (NASDAQ:SOHU) is up over 3%, Shanda Interactive (NASDAQ:SNDA) is up over 2.5%, Youku.com (NYSE:YOKU) is up over 5%, Netease.com (NASDAQ:NTES) is up over 3%, Dangdang Inc. (NYSE:DANG) is up over 2.5%, and RenRen (NYSE:RENN) is up over 4.5%.

Source:wallstcheatsheet