Hurray! News
Hurray! to Acquire Magma, a Java
Game Developer and Publisher
BEIJING, December 30, 2005 /Xinhua-PRNewswire/ -- Hurray! Holdings
Co., Ltd. (Nasdaq: HRAY - News), a leader in advanced wireless value-added
services, digital music production and distribution, and mobile
telecommunication network software in the People’s Republic of China,
today announced the signing of definitive agreements to acquire
100% of the equity interest in Shanghai Magma Digital Technology
Co., Ltd. (“Magma”), a leading developer and publisher of wireless
Java games in China. Founded in October 2001, Magma has built up
an experienced wireless game development team, which has successfully
published approximately 200 original in-house games including its
signature series, “YY Cat” and “PP Pig”, and other popular games,
such as “Han Dynasty” and “108 Heroes”.
Hurray! will initially pay a total of US$4.1 million in cash for
the 100% equity interest of Magma. The total consideration is subject
to adjustments based on the financial performance of Magma’s business
in certain periods following the closing of the acquisition. Hurray!
expects to close the transaction before January 31, 2006, subject
to required China regulatory approvals and other customary closing
conditions.
Commenting on this acquisition, QD Wang, Chairman and Chief Executive
Officer of Hurray!, said, “We are very pleased to announce this
acquisition of Magma, a top wireless Java game developer and publisher
in China. We anticipate that the acquisition will significantly
strengthen our mobile game development capabilities. We believe
that the combination of Magma's experienced product development
team, our proven wireless distribution channels and broad customer
base will put Hurray! in a strong position to capture opportunities
in the fast-growing mobile games market in China."
About Hurray! Holding Co., Ltd.
Hurray! provides wireless value-added services such as ringtones,
picture downloads, community and entertainment services to mobile
users in China. The company is one of the market leaders in providing
these services using wireless application protocol, commonly referred
to as WAP, in China. WAP services are offered through the advanced
2.5G mobile networks, the most advanced broadly available mobile
networks deployed in China. Hurray! also offers these services through
2G mobile networks. In addition, Hurray! focuses on music production
and distribution.
Hurray! also designs, develops, sells and supports a service provisioning
and management software that is used by China Unicom, one of the
two principal mobile operators in China, to support its 2.5G services
platform.
Forward-looking Statements
This press release contains statements of a forward-looking nature.
These statements are made under the "safe harbor" provisions
of the U.S. Private Securities Litigation Reform Act of 1995. You
can identify these forward-looking statements by terminology such
as "will," "expects," "anticipates,"
"future," "intends," "plans," "believes,"
"estimates" and similar statements. The accuracy of these
statements may be impacted by a number of business risks and uncertainties
that could cause actual results to differ materially from those
projected or anticipated, including: the risk that this or any future
acquisition will not create the operational and financial results
that Hurray!'s management and board of directors expects, including
in particular the possibility that this acquisition may not effectively
strengthen Hurray!’s mobile game development capabilities and that
Hurray! may not be able to maintain or increase its share of the
mobile game market in China; the risk that this and any future acquisition
could divert management's attention from Hurray!'s operations, which
could adversely affect its results of operations; the risk that
the mobile games market in China will not continue to grow for whatever
reason; and the risks outlined in our filings with the Securities
and Exchange Commission, including our registration statement on
Form F-1. We do not undertake any obligation to update this forward-looking
information, except as required under applicable law.
For more information, please contact:
Phoebe Meng
Investor Relations Manager
Tel: 8610-6518-8989 ext 6806
yfmeng@hurray.com.cn
SOURCE: Hurray! Holding Co., Ltd.
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