Chinese Internet Portal Sina Buys Focus Media for $1 Billion

Chinese internet portal Sina.com, has announced plans to buy parts of Focus Media for $1 billion, according to the New York Times.

Focus Media is an outdoor digital advertising company, using LCDs to display ads, as well as an internet advertising company. Sina.com, incidentally is purchasing the outdoor ad portion while Focus retains the internet ad part.Sina.com uses Google for web search and advertising.

In a statement released by Sina, President and CEO Charles Chao said, “The transaction is intended to combine the forces of the two of the most powerful new media advertising platforms in China to provide more effective and integrated marketing solutions to our customers. We believe that this business combination will significantly extend our media reach and influence, reinforcing our position as a partner of choice in new-media advertising in China.”