Bloomberg the Company & Products

Bloomberg Anywhere Login

Bloomberg

Connecting decision makers to a dynamic network of information, people and ideas, Bloomberg quickly and accurately delivers business and financial information, news and insight around the world.

Company

Financial Products

Enterprise Products

Media

Customer Support

  • Americas

    +1 212 318 2000

  • Europe, Middle East, & Africa

    +44 20 7330 7500

  • Asia Pacific

    +65 6212 1000

Communications

Industry Products

Media Services

Follow Us

Renren Jumps on Report Baidu in Talks to Buy Nuomi Unit

Don't Miss Out —
Follow us on:

Aug. 13 (Bloomberg) -- Renren Inc., owner of a Chinese social networking website, jumped to a 13-month high after Sohu.com Inc.’s technology news outlet said the social media platform is in talks to sell its group-buying unit to Baidu Inc.

Renren’s American depositary shares soared 7.1 percent to $4.25 at 11:55 a.m. in New York, set for the highest level since July 2012. Trading volume was more than twice the daily average over the past three months, data compiled by Bloomberg showed.

Baidu, which owns China’s most-used web search engine, has been talking with Renren for two months to buy its Nuomi unit, according to a report on Sohu.com today. Baidu declined to comment for the report and an unidentified Renren media relation manager didn’t have knowledge of the deal, the Sohu report said.

“The driver for Renren’s gain should be speculation that it will sell its Nuomi unit to Baidu, which is positive,” Andy Yeung, an Internet stock analyst at Oppenheimer & Co. in New York, said by phone. “There is also expectation that Renren earnings will do better because the second-quarter results of other Internet companies showed that the overall advertising market is improving.”

Sam Lawn, Renren’s investors relationship director, couldn’t be reached by phone after business hours in Beijing. An e-mail to Renren’s public relations department seeking comment wasn’t immediately returned. Baidu’s Beijing-based spokesman Kaiser Kuo declined to comment on the report by phone.

Renren is scheduled to report second-quarter earnings after markets close tomorrow.

To contact the reporter on this story: Belinda Cao in New York at lcao4@bloomberg.net

To contact the editor responsible for this story: Tal Barak Harif at tbarak@bloomberg.net

Please upgrade your Browser

Your browser is out-of-date. Please download one of these excellent browsers:

Chrome, Firefox, Safari, Opera or Internet Explorer.