Former social networking (SNS) superstar Renren (NYSE: RENN) is reportedly downsizing its online game division, formerly its most promising unit, leading me to wonder if earlier rumors that the company’s days as an independent entity may be numbered. The story behind Renren’s rapid rise and now apparent fall is simple: The company was once considered China’s equivalent of Facebook (Nasdaq: FB), and used that comparison to launch a successful IPO back in 2011. But since then it has been overtaken by other social networking services, most notably Sina’s (Nasdaq: SINA) Weibo microblogging service and Tencent’s (HKEx: 700) WeChat, putting the company’s future in jeopardy as it looks for a competitive advantage. Read Full Post…
The following press releases and media reports about Chinese companies were carried on November 16-18. To view a full article or story, click on the link next to the headline.
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Peugeot Mulls Faurecia Sale With Dongfeng (HKEx: 489) Tie-up: Sources (English article)
Alibaba’s Yu E Bao Tops 100 Bln Yuan in Funds (Chinese article)
Sina (Nasdaq: SINA) Prices Offering of $700 Mln Convertible Senior Notes (PRNewswire)
Sinopec (HKEx: 386) Says Parent Buys More Company Shares (HKEx announcement)
Renren (NYSE: RENN) To Downsize Gaming Business (English article)
The following press releases and media reports about Chinese companies were carried on November 6. To view a full article or story, click on the link next to the headline.
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Beijing Slashes Car Sales Quota In Anti-Pollution Drive (English article)
Chinese Auto Website Autohome Files For $120 Mln IPO (English article)
Socialgist Confirms New Partnership With Renren (NYSE: RENN) (PRNewswire)
Trina Solar (NYSE: TSL) Announces Updates To Q3 Guidance (PRNewswire)
Update: After originally posting this item, a Renren spokesman has gotten in touch to deny there are any talks for asset sales to Baidu beyond the original Nuomi sale.
Baidu (Nasdaq: BIDU) is the subject of a new flurry of news bits, including growing ties with social networking leader Renren (NYSE: RENN) and a new financial services initiative, spotlighting the sudden urgency it feels to grow beyond its core search business. The Renren news bits are the most interesting to me, because they highlight the importance of social media to the growth strategies of most major Chinese Internet companies and could also presage an eventual acquisition. The financial services initiative also reflects the sudden rush by Chinese web giants into this area, though Baidu looks a bit late in its arrival to the space. Read Full Post…
The following press releases and media reports about Chinese companies were carried on October 23. To view a full article or story, click on the link next to the headline.
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The following press releases and media reports about Chinese companies were carried on August 24-26. To view a full article or story, click on the link next to the headline.
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Huawei, ZTE (HKEx: 763) Win Bulk Of China Mobile’s $3 Bln 4G Bonanza (English article)
Baidu (Nasdaq: BIDU) Invests In Renren’s (NYSE: RENN) Nuomi (PRNewswire)
Apple (Nasdaq: AAPL) To Open 4th Shanghai Store Before Oct 1 Holiday – Report (Chinese article)
Electric Carmaker Tesla (Nasdaq: TSLA) Hits Roadblock In China Over Trademark (English article)
China Commerce Ministry Warns Auto Makers Over Price Monopoly (English article)
Barely a month goes by these days without rumor of a new acquisition target for Baidu (Nasdaq: BIDU), which suddenly seems anxious to buy up major assets in its bid to diversify beyond its core search business. The latest rumors say Baidu is close to a deal to purchase Nuomi, the group buying unit of social networking leader Renren (NYSE: RENN). As one of China’s most profitable Internet companies, Baidu is hoping to take advantage of low valuations of Chinese Internet firms, many of which are running low on cash and have had trouble attracting interest from foreign investors. Baidu, by comparison, has plenty of resources to make such purchases, including $2.5 billion in cash from 2 recent major bond sales. Read Full Post…
Consolidation in China’s crowded Internet is moving ahead full steam these days, with the latest reports indicating that online matchmaking site Jiayuan.com International (Nasdaq: DATE) may be the latest takeover target. If the reports are true, the talks would mark the latest tie-up that has seen cash-rich Internet giants including Baidu (Nasdaq: BIDU), Alibaba and Tencent (HKEx: 700) embark on a recent buying frenzy for undervalued and cash-starved smaller Internet firms. Jiayuan certainly seems to fit that description, as the company’s shares have languished since its IPO 2 years ago. Read Full Post…
The following press releases and media reports about Chinese companies were carried on July 20-22. To view a full article or story, click on the link next to the headline.
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Yahoo (Nasdaq: YHOO) To Reacquire China Yahoo From Alibaba – Source (English article)
SPD (Shanghai: 600000), China Mobile (HKEx: 941) In E-Payments Tie-Up (Chinese article)
Sina’s (Nasdaq: SINA) Weibo microblogging platform is moving in many different directions these days, this time adding a major video component through a new tie-up with online video leader Youku Tudou (NYSE: YOKU). This new tie-up looks smart in some ways, as it pairs 2 leaders in online entertainment spaces that look complementary. But at the same time, Sina needs to be careful in its zealous campaign to commercialize Weibo, or risk alienating its millions of users and eventually driving them away to a growing array of rival products entering the market. Read Full Post…
Today I want to take a look at the latest developments from 2 companies that have both tried to play in the US stock markets, but ultimately found out that international investors can be a fickle group. In both cases, outdoor advertising specialist Focus Media and group buying specialist LaShou discovered that foreign equity markets can be quite lucrative and prestigious, especially for up-and-coming Chinese firms that can make successful IPOs. But both firms have also discovered those same markets can also be brutal places for Chinese companies that aren’t used to dealing with sophisticated institutional investors, hedge funds and short sellers that are active in those markets.
