CMGI is a big force in the internet world. In reading this article about
RedHerring's "top 100 companies," I saw they had recently formed a
partnership with an Asian company called "Pacific Century CyberWorks." And
guess what... Pacific Century's stocks are OTC - currently trading at $1.90
(PCCLF). Pacific Century is one of RedHerring's Top 100.... RedHerring
thinks they may be the "next AOL of Asia." Thought you (and/or your
network) might wanna know about 'em... (canwebuyem? canwebuyem?)
Here's an overview about Pacific Century, followed by their mention in
CMGI's overview...
- - - Pacific Century - - -
herring.com
Market:
Developing a pan-Asian satellite-transmitted broadband network. Taking
minority stakes in numerous enabling-technology startups worldwide and
bringing Internet businesses developed in the West to Asia. Also developing
a $1.7 billion real-estate project called Cyber-Port for wired residences
and offices in Hong Kong.
Strategy:
Has the chance to become the America Online of Asia -- a conduit to a
potentially huge market. At press time though, most of its plans are still
just that -- plans. However, in addition to CEO's powerful family
connections (through his billionaire father Li Ka-Shing), has weaved
numerous partnerships with powers like CMGI, Intel, and Hikari Tsushin in
Japan. In February acquired Cable & Wireless HKT, Hong Kong's dominant
telecommunications provider. Needs to work quickly to implement its business
strategy.
Management:
Founder and chairman is famous for having built the pan-Asian satellite
television service Star TV in three years, attaining a subscription-driven
audience of 54 million, then selling it to News Corp. for almost $1 billion
-- all by the age of 26. The rest of PCCW's team is similarly impressive,
including Group Managing Director Alex Arena, who is the former
director-general of the Telecommunications Authority of Hong Kong.
Branding:
The Li family name is the brand.
Financials:
Trailing 12-month revenues were $17 million. As of April 5, stock was
trading at $1.92, giving the company a market cap of $19.5 billion. Its
forward P/E ratio was not measurable.
- - - CMGI - - -
herring.com
Market:
Develops and invests in Internet retail and business-to-business companies.
Offers operational and financial services to its portfolio of companies. Has
the ability to pick likely winners in the Internet economy -- pay-off
investments include AltaVista, Engage Technologies, Lycos, and Ventro
(formerly Chemdex).
Strategy:
Generally takes a majority position in companies and integrates them into
its larger operating company; its @Ventures affiliate invests in companies
and does not necessarily take a controlling interest. Has joined forces with
others to expand its domain. In this year alone, it launched CMGI Asia
through a partnership with fellow Red Herring 100 honoree Pacific Century
CyberWorks (OTC: PCCLF) (PCCW) and started @Ventures Global Partners with
PCCW and Hicks, Muse, Tate & Furst.
Challenge:
Depends on the market's demand for its Internet holdings as well as its own
enormous market capitalization to survive.
Management:
CEO has transformed the company from a struggling direct marketer to a
leader of the Internet economy.
Branding:
While not a ubiquitous brand like Coca-Cola, CMGI's stock has pulled off an
unforgettable performance.
Financials:
Trailing 12-month revenues were $376 million. As of April 5, stock was
trading at $85.38, giving the company a market cap of $22.7 billion. Its
12-month forward P/E ratio was not measurable.
Excerpted from the list of RedHerring's Top 100 companies:
herring.com |
