56 net will be bought by everyone with 80 million dollars cash

On September 27, Renren announced that it would complete a wholly-owned acquisition of the video-sharing web site 56 (www.56.com) with 80 million dollars in cash, and that the deal was expected to be completed in the fourth quarter of 2011. The deal is the first major strategic acquisition that everyone has made since landing in the NYSE in MAY this year.

After the transaction is completed, the 56 web will not change the current organizational structure. According to the disclosure, everyone has even developed a set of 56 network to encourage staff to retain the plan, which encourages every 56 net employees can continue to remain a member of the company. At present, there are about 200 employees in the 56 network, and when the transaction is completed, the marketing, sales and product teams will be integrated with everyone's team.

According to the source, in the acquisition, investment bank Huaxing Capital as 56 net of the exclusive financial advisor. Through this acquisition, the 56 net will become a wholly owned subsidiary of Renren, and the co-founder and CEO of the 56 Zhou Juan will also join the management of everyone and vice president.

Chen, Chairman and CEO of Renren, said the acquisition of the 56.com would help everyone's users enrich their communication and sharing needs on social networking sites, and make it easier to record and share their lives on social networks.

"We are happy to be a part of everyone's company," said Zhou Juan, co-founder and CEO of the 56 network. The strong user base and the rich resources of everyone in social networking, mobile Internet, and social e-business can help us to enhance our attractiveness to our users. ”

It is reported that 56 net 6 years total only financing 30 million U.S. dollars, this was bought by everyone, but also make it a cool 6, Youku, potatoes after another listing of video sites. 2009, 酷6网 44 million U.S. dollars, to replace the grand network of Friends of the Chinese-century shares of the form of realization curve listed.

In May this year, all companies listed in the U.S. IPO, the total financing of 743.4 million U.S. dollars. Raise funds to enhance the strength of all companies and brand awareness, for key employees to provide equity incentives to retain talent. Of these, 180 million dollars is spent on research and technology investments, 180 million dollars for sales and marketing campaigns, and the remainder for general purposes.