Amazon buys Chinese rival
Online retail giant acquires Joyo.com
Amazon.com is making an entry into the Chinese market with a $75m deal to acquire rival online retailer Joyo.com.
The company operates the Joyo.com sites, www.joyo.com and www.joyo.com.cn, in co-operation with Chinese subsidiaries and affiliates. The Joyo.com sites are the largest online retailers of books, music and videos in China.
Founded in 2000, Joyo.com also sells software, and toys and gifts, among other products. Amazon said the deal will blend Joyo.com’s expertise in the Chinese market with Amazon.com’s experience as one of the world’s leading online retailers.
It will become Amazon.com’s seventh global Web site, servicing more than 80m consumers already online in China. The value of the deal is $75m, including $72m in cash and the assumption of employee stock options
Lin Shuixing, president of Joyo.com, said: “Becoming a part of the Amazon family is great news for our customers Amazon.com has always put the customer at the center of everything it does, and we look forward to making Joyo.com even better for our customers in the time to come.”
Lei Jun, founder and chairman of Joyo.com and president of Kingsoft Holdings, its largest shareholder, said: “This transaction is a recognition of Joyo’s accomplishments over the past four years. I am confident that Amazon.com’s expertise in global e-commerce, in combination with Joyo’s entrepreneurial management team and employees, will bring the development of e-commerce and online customer experience in China to a new level.”
Jeff Bezos, founder and CEO of Amazon.com said: “We are very pleased to be entering the Chinese market with Joyo.com. In a relatively short time, Joyo.com has established itself as the leading online destination for books, music and videos in China, and we’re happy to be part of one of the world’s most dynamic markets.”
