‘Chinese Facebook’ Renren Inc. Goes Public

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Here’s today’s look at the social media business, including a top China competitor to Facebook and a new Google (NASDAQ: GOOG) plugin to a new Electronics Arts (NASDAQ: ERTS) social networking game effort.

Chinese Facebook Goes Public: Renren Inc., the Chinese social network equivalent to Facebook, announced on Friday that it has prepared an initial public offering to raise as much as $584 million to fuel future expansion. Shares will sell between $9 and $11. The company will go head to head with major Chinese web outlets like Baidu (NASDAQ: BIDU), Youku (NYSE: YOKU) and others in a market that is flush with newly public and profitable businesses. There is also great opportunity to grow for Renren, which already has 160 million users. Facebook is blocked in China, leaving the social network uncontested by America’s industry giant. Renren may also become the first social network to go public (though it’s in a race with LinkedIn for that distinction.) Bloomberg reported on Friday that Credit Suisse, Morgan Stanley, and Deutsche Bank will lead the IPO.

Plugin Transforms Google +1 into Facebook Like: Independent developer Crossrider has released an add on that will alter Google’s new “+1” social networking tool into a Facebook “Like” button. Announced in March, +1 represents Google (NASDAQ: GOOG) efforts to embrace social networking in its advertising business. Gmail and Google Account users can click a button labeled +1 in Google search results. Contacts in that user’s Google Account will then see that search result listed at the top of similar searches in Google’s signature engine. Crossrider’s tool meanwhile will transform that button into the familiar Facebook “Like” button. The plugin works with Microsoft (NASDAQ: MSFT) Internet Explorer, Mozilla’s Firefox, and even Google’s own Chrome web browser.

Loeb Named CEO of Electronic Arts Playfish: Electronic Arts (NASDAQ: ERTS) has hired a new CEO, Aaron Loeb, to head its social network gaming subsidiary Playfish Games. Loeb makes for an unusual choice given his background in the more traditional console and PC game space with Planet Moon Stuidos. EA acquired Playfish in November 2009 for $100 million. The company’s games support a following of 37 million users on Facebook alone.

As of this writing, Anthony John Agnello did not own a position in any of the stocks named here. Follow him on Twitter at @ajohnagnello and become a fan of InvestorPlace on Facebook.


Article printed from InvestorPlace Media, https://investorplace.com/2011/04/renren-ipo-china-facebook-chinese-ipo-goog-bidu-erts/.

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