If confirmed, that indicates that they want to close the technology gap to current state of art IT. It hardly makes any sense to invest this amount of capital at the current market price of bitcoin - unless they also accumulate large quantities of bitcoin and they want to keep the price suppressed. Buying hardware is like buying future bitcoins.

The more interesting aspect would be if they really intent to invest 200 million or if they just value Avalon at 200 million in exchange for e.g. 5 million in investment and equity. ASICMINER currently has a valuation of about 160 million.