UPDATE 1-Xinhua shares up 17 pct on Yucaipa deal

(Adds details, stock move)

NEW YORK, Sept 26 (Reuters) - China-based media and advertising company Xinhua Finance Media XFML.O said on Wednesday that private equity firm Yucaipa Companies agreed to buy a block of shares from certain shareholders.

The news sent shares of Xinhua up 17 percent premarket to $9.30 per share.

The shares being purchased are from stockholders coming out of the lockup period from the company's initial public offering in March. A lockup period refers to an interval of time during which an investment may not be sold. The company's statement did not specify how many shares are being purchased, nor at what price.

David Olson, a Yucaipa partner, will join the board of XFMedia as an independent director in connection with the transaction, the company said. Former U.S. President Bill Clinton is a Yucaipa adviser.