CBS will be 1.8 billion U.S. dollars acquisition of CNET

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The May 15, according to foreign media reports, the U.S. CBS (CBS) announced today that will be about 1.8 billion U.S. dollars acquisition of CNET Networks. Prior to this, CNET with the dissenting shareholders for the growing.

Under the agreement, CBS will pay CNET shareholders of the purchase price of 11.50 U.S. dollars per share, representing a CNET Wednesday's closing price premium of 45 percent, but higher than the maximum CNET shares over the past two years. Affected by this news, CNET shares Thursday on the Nasdaq before trading was up 42 percent, rose to 11.30 U.S. dollars; CBS shares in the New York Stock Exchange before trading was down 3 percent, fell to 24.10 U.S. dollars.

CBS said that through this transaction, the company will be among the top 10 Internet company in the United States included, the number of visitors per month as an independent 54 million people in the world, has about 200 million users. CBS President and CEO Leslie Muwei Si (Leslie Moonves) said: "CNET is a profit, growth, well-managed Internet companies, the acquisition of such a company very little chance." He also said that the deal will help CBS will provide their own content to a global audience.

Mu Weisi said, CBS with a combination of CNET, will be in the fast-growing advertising market occupied an important position, but also by a large amount of new content, promotion and advertising program to accelerate its own development. CNET's assets, including the Internet, entertainment, news and information Web site CNET, ZDNet and GameSpot.com. CBS said in a statement, CNET has a large scale access to international markets, especially the Chinese market.

After the completion of the transaction, CNET's Web site will be incorporated into the CBS news and sports sites, CBS radio and CBS television digital media platform, and the CBS network's audience distribution networks. CBS network audience by more than 300 partner sites formed, covering 82 percent of U.S. Internet users.

In the meantime, CNET is facing a dissenting shareholder-sponsored proxy battle to Jana Partners investment company headed by the opposition groups have been committed to elections seven new members to the eight-member board of directors of CNET. So far, Jana Partners also on CBS did not comment on the acquisition of CNET transactions. Jana Partners CENT is the first major shareholders, as at February 20 holders of the latter 10 per cent of the shares.

CNET was established in 1992, is the world's first website to the concept of IT companies listed. But in recent years, CNET has encountered strong challenges from competitors. 2005 to 2007 between, CNET shares fell 19 percent, while the Nasdaq composite index rose 22 percent. At the same time, other Internet company's shares are soaring. The first quarter of 2008, CNET's net loss of 6.1 million U.S. dollars, a loss of 4 cents a share, on revenue of 91.4 million U.S. dollars, year-over-year growth of 89.1 million U.S. dollars of 2.6 percent.