Tuesday, August 22, 2006

China Finance looks to acquisitions

China Finance Online is not one of the strongest listed Chinese B2B companies (it's listed on NASDAQ as JRJC). It ranks #24 in our list of 33 listed Asian B2B media stocks in terms of price performance year to date - down 13.4% at US$5.55. It is a very small company and has struggled to find a growth strategy.

We were interested, therefore, to see the announcement of its $8 million acquisition of Stockstar Information Technology. The press release describes Stockstar as "one of the leading finance and securities websites in China". China Finance describes itself as "a leading Chinese online financial information and listed company data provider". Hmmm. Sounds as they just bought a twin. I suppose it will probably boost something. Worth a closer look perhaps.

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