Korean Portal Duam Buys Majority in Japanese Portal

The story talks about how Korean portals will show increasingly good earning results this year…Analysts see value in the two biggest names in the business – Daum Communications and NHN Corp, both listed on the Kosdaq – and expect the two companies will report strong quarterly results. Overseas investors hold more than 40 percent stakes in both companies.

In the news bit in this story, Daum announced it would invest 8.76 billion won to buy a 65 percent stake in Taon Corp. a joint venture with Poweredcom. The Japanese online venture owns Cafestar, the largest community portal in Japan with 1.17 million members.

Daum plans to launch a new version of Cafestar, which will be integrated with the company’s business model in Korea. Cafestar last year reaped sales of 1.5 billion won from digital items and Internet ads.

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