 |  |  |
An aggregated revenue of HK$230M
expected from the partnerships with YC press and shawei.com
Hong Kong, August 13, 2000 --- As an important step towards achieving portal leadership in Mainland China, TOM.COM LIMITED ("TOM.COM" or "TOM") announced today it has signed separate Memoranda of Understanding with Yang Cheng Press Advertising Limited ( including its business operations in the mainland ) and Guangdong Yang Cheng Press Sports Development Limited (together YC Press), and Sharkwave Asia Pacific Limited (Shawei, owner of shawei.com). TOM will bring together the strengths of both parties to build a unique and integrated business in sports content and event management, positioning Tom as China's sports category leader.
TOM.COM intends to acquire a 100% equity interest in Shawei for a consideration of approximately US$20 million, and a 70% stake in YC Press for a consideration of approximately HK$236 million. (Stated terms are subject to final agreements with the respective parties). YC Press is a leading sports advertising and event management company in Mainland China; while shawei.com is the country's leading and most popular sports portal. The partnerships are expected to contribute HK$230 million in aggregate revenues to TOM.COM per annum.
The partnerships will strengthen TOM's position in Mainland China's growing sports industry with revenue estimated at RMB140 billion. YC Press' solid business will bring additional revenue, create effective cross-media synergies, and broaden audience reach for TOM.COM. Through shawei.com, TOM will obtain original content, a complementary customer base, as well as higher market share.
"We have acquired a category-killer - shawei.com, and established a unique partnership together with YC Press to leverage cross-media synergies. This important move is in line with TOM.COM's focus of strategically building our portfolio and leadership in the booming China Internet market," said Sing Wang, CEO and Executive Director of TOM.COM.
The combined strengths of TOM.COM/YC Press/shawei.com bring significant advertising advantages that allow bundling and cross selling of online and offline advertising. With YC Press' rights to prime sports events, TOM and Shawei can increase user traffic by bringing events onto the web, and offer targeted e-commerce services such as ticketing and merchandising. Likewise, YC Press can enjoy cost-effective promotion support from both TOM and Shawei for its sports events.
Li Guang Sheng, General Manager of YC Press stated, "the partnership between YC Press and TOM.COM combines two strong players where both can leverage each other's brand. We will gain stronger financial support, exposure to international management concepts, and a broader client base that will further boost our profitability and grow our business to become the leader in the industry."
"The acquisition by TOM.COM will give Shawei an unrivaled competitive edge in the online sports category. We shall both cooperate and thrive to create brand reinforcement, synergistic content development and an enhanced user proposition," said Fritz Demopoulos, CEO of Shawei.
About YC Press
YC Press is a leading sports advertising and event management company in Mainland China. Since its establishment in Hong Kong 12 years ago, Yang Cheng Press Advertising Limited has helped numerous local and foreign enterprises build their brands and establish their corporate images in China. Eight years ago, Guangdong Yang Cheng Press Sports Development Limited was set up to manage sponsorships and marketing for sports events. It has organized or participated in numerous major national sports events, covering football, table tennis, bowling, volleyball and sports games for college students. The company also produces various TV sports programs jointly with different local TV stations, which are aired by over 30 TV stations in China.
Guangdong Yang Cheng Evening Post Group is the shareholder of YC Press. Its Yang Cheng Evening Post is the country's first major evening newspaper, and has a daily circulation of over 1.3 million - putting it among the top 3 in China, and making it one of the country's largest and most influential media companies. YC Press has built excellent relationships with major local advertisers and media.
About shawei.com
Launched in July 1999, shawei.com is the leading sports site in China. It currently records an average of over one million pageviews per day. Major shareholders of the company include Softbank and IDG.
shawei.com offers original content and content aggregated from domestic news agencies and magazines, Reuters and AFP. It also provides unique community and interactive features.
About TOM.COM
Founded in December 1999 and an associate of Hutchison Whampoa Limited, TOM.COM Limited is a joint venture formed by Hutchison Whampoa Limited, Cheung Kong (Holdings) Limited and other strategic investors. The company was listed on the Growth Enterprise Market (GEM) of the Stock Exchange of Hong Kong in March 2000. Targeted at Chinese-speaking and global audiences to "Bring China to the World and the World to China", TOM.COM LIMITED is building a multi-lingual mega portal to offer the most comprehensive China-related infotainment content. Headquartered in Hong Kong, TOM.COM has established offices in Beijing and Shanghai.
TOM.COM can be found on the Web at WWW.TOM.COM
####
For press enquiries, please contact:-
Rachel Chan/Helen Lam
TOM.COM LIMITED
Tel: 2121 7810/2121 7811
Fax: 2127 7576
e-mail: rachelc@hk.tom.com/ helenl@hk.tom.com
| © Copyright 1996-2024 irasia.com Ltd. All rights reserved. |
|
DISCLAIMER: irasia.com Ltd makes no guarantee as to the accuracy or completeness of any
information provided on this website. Under no circumstances shall irasia.com Ltd be liable
for damages resulting from the use of the information provided on this website.
TRADEMARK & COPYRIGHT: All intellectual property rights subsisting in the contents of this website belong to irasia.com Ltd or have been lawfully licensed to irasia.com Ltd for use on this website. All rights under applicable laws are hereby reserved. Reproduction of this website in whole or in part without the express written permission of irasia.com Ltd is strictly prohibited. TERMS OF USE: Please read the Terms of Use governing the use of our website. |