MEDIA-I: Tom.com bags China print venture

BEIJING: Internet portal Tom.com has confirmed an RMB5 million

(US$600,000) venture with a China-based publisher in its effort

to build its China print media platform.

Tom.com will take a 70 per cent stake in the joint venture, with China

National Publications Import and Export Corporation (CNPIEC) holding the

remainder of the shares.

The move follows the company's recent acquisition of stakes in

publishing businesses in Hong Kong and Taiwan.

The portal acquired a 50 per cent stake in the Chinese-language weekly

Yazhou Zhoukan from Ming Pao Enterprise for HK$60 million (about

US$7.7 million) in March.Two months later it acquired PC Home and

Cite, the largest book and magazine publisher in Taiwan.

Sing Wang, chief executive officer and executive director of Tom.com,

said: "CNPIEC has ample publishing experience and a wide distribution

network in the mainland. It also works closely with mainland authorities

and other industry players. All this will facilitate Tom.com to

introduce overseas print media to the China market and localise them to

suit the needs of the mainland market."

In 1999, the value of books published in mainland China totalled RMB43.6

billion. Total magazine advertising revenue reached RMB900 million in

the same year, an increase of 25.1 per cent over 1998.

Meanwhile, Tom.com subsidiary YC Advertising and partner Starway Sport

and Culture Development are to pay an estimated US$5 million a

year to secure the commercial rights for the Chinese Basketball

Association (CBA) games. Confirmed this month, the franchise covers

three CBA seasons up to 2003.

The CBA exclusive commercial rights granted to Tom.com include rights to

title sponsorships, advertising, TV broadcasting, official sponsorship,

usage of the league logo and images of players. It also includes the

marketing rights to the official website, promotional activities of the

club officials and team players, the fan club and league merchandise

marketing rights.