--Chinese Renren eyes USD500m in US flotation

Internet Business News
02-21-2011
--Chinese Renren eyes USD500m in US flotation

INTERNET BUSINESS NEWS-(C)1995-2011 M2 COMMUNICATIONS

21 February 2011 - Chinese social network Renren.com is planning a US flotation this year, looking to raise some USD500m (EUR365m), the Financial Times reported citing sources familiar with the matter.
If the initial public offering (IPO) goes ahead, Renren will be among the first listed representatives of a sector that has been growing by leaps and bounds. Investors are eagerly awaiting opportunities to capitalise on this tremendous growth and Chinese companies have the added bonus of operating in the most populous market on the planet.

It is yet unclear what valuation the IPO will give Renren, which has hired Deutsche Bank as one of the offering managers.

Renren began life in 2005 as Xiaonei and was acquired a year later by Oak Pacific Interactive. The company has yet to allow a glimpse into its financial results but has revealed that advertising revenues more than doubled in 2009 and 2010.

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