The Matrix Reloaded
NYSE execs owed millions
Microsoft moving Development to India
Antitrust move deals setback to Oracle
Basics of Good Customer Service
IC9700 continues to rise
Start a New Business
Microsoft vs MikeRoweSoft.com
ISO9001 for Small Businesses
Disney power split
British Airways profits rise
Apple Computer cuts
HSBC reports record bank profits
Indian Generic Drug Firm suffers Defeat
Fairtrade foods boom in UK
Microsoft and eBay link together
Leela Goa gains coveted Imperial Mark
Microsoft to return over $75 bn to shareholders
South Korean firm snaps up Lycos
Google IPO hits more trouble
Viagra blindness claim
Google shares released for sale
Trump Hotels files for bankruptcy
Google creators in share sell-off
eBay snaps up Rent.com for $415m
Pfizers Lipitor good for the heart
US theme park wins tax break as "place of worship"
AOL Spammer gets 15 months
Dell to swtich to AMD?
Wembley Stadium fails to meet deadline
Is Google operating illegally in China?
Bush to veto ports deal? Unlikely.
Google concerns grow
Walmart changes its healthcare terms for employees
Apple silences another website
Bye Bye Lehman Brothers
Lipton tea in China milk scare
Orange Rockcore - I AM
The downfall of mySpace
Mark Zuckerberg .... what a muppet.
Is Mark Zuckerberg killing Facebook
Facebook connect - Beacon Part 2

South Korean firm snaps up Lycos

South Korean top internet portal Daum Communications is buying US web portal Lycos Inc from Terra Lycos of Spain, to push its way into the US market.

Terra Lycos is 72% owned by Spanish phone operator Telefonica.

Daum said it had agreed to pay 111.2bn won ($95m; £52m) for Lycos Inc as a springboard into the US market from which to then become a global player.

The two sites both offer teenager friendly news, e-mail, chat, web search, personals and shopping among other things.

Lycos Inc also owns Tripod which allows users to build personalised web sites, and runs an online version of Wired, a technology news magazine.

The sale price for Lycos Inc reflects the precipitous drop in the valuations of internet stocks since the dot.com crash in mid-2000.

In May 2000, Spanish web firm Terra thought it worth $12.5bn in shares to acquire Lycos, a US internet search engine.

In April this year, Terra Lycos put the loss-making, Nasdaq listed US business up for sale with a price tag of $170m. In its own books, Terra Lycos went for a write down of Lycos to 75m euros ($84m; £46m), a sum closer to what Daum has paid.

Daum said Lycos has 170,000 paying subscribers and 6% of the online banner advertising market in the US.

The purchase meant Daum was "ready to take off in its globalisation initiative", said Daum president Lee Jae-Woong. But investors were doubtful about the wisdom of Daum's purchase.

The firm's shares initially rose 2.4% on news of the deal, but had slumped 5.18% by the market's close as analysts looked more closely at the deal and queried how much Daum could expect to earn from loss-making Lycos Inc.

Search for more info:

© InsiderView 2000 - 2008 : Sitewise - Insider View