Enjoy Media has signed an agreement to acquire 51% of Guangzhou LangHui Information Technology Limited.
LangHui provides specialized Internet ranking and promotion services which links Chinese keywords to customer websites in the Chinese cities of Guangzhou, Dongguan and Zhongshan.
The total consideration, US$618,811, is to be settled by restricted common shares of Enjoy Media subject to satisfactory due diligence. The acquisition is intended to leverage advertising customer bases to boost revenue and add to the development of Enjoy Media's business.
LangHui, a privately-held company in Guangzhou, China, provides Internet ranking and advertising services with Chinese keywords linking to its 20,000 corporate customers in Guangzhou, Dongguan and Zhongshan.
LangHui's partners are major internet brands such as Alibaba.com, 3721.com, Yahoo (YHOO), Google (GOOG) and CDC Corporation (CHINA).
LangHui expects to increase its advertising revenue to at least US$700,000 with a net profit of US$100,000 in 2006.