Renren files China to collect as much as $ 584 million in intellectual property offices

April 15, 2011, 6: 55 pm EDT by Joseph Galante and Brian Womack

April 15 (Bloomberg) - Renren Inc., the largest social networking service of China, filed to collect as much as 584 million in an initial public offering to finance the expansion.

Renren expects to sell American depositary 53.1 million from $9 to 11 $ receipts each in an initial public offer, according to a filing with the U.S. Securities and Exchange Commission. ADR represents 159.3 million common shares of class A, according to the filing.The company expects this product of the OPI 508 million and will use to woo more visitors that it is in competition with local rival Tencent Holdings Ltd. and Baidu Inc. in the market of the Internet the most populous of the world. Renren - a name which means "everyone" in Chinese - a similar characteristics such as Facebook Inc., which is blocked China.No U.S. social networking sites have gone public, then even that their popularity and revenue advertising soar. That created a pent-up among investors demand. LinkedIn Corp., which announced in January to raise 175 million in an IPO, may become the first.Renren has over 160 million registered users, according to Analysys International in Beijing. Advertising has more than doubled each year since the site began selling space in 2008, the company said. The online advertising market will triple almost 13 billion dollars in China in 2014, estimates Susquehanna International Group LLP.Morgan Stanley, Deutsche Bank AG and the Credit Switzerland Group AG will lead the introduction on the stock exchange. ADRS will be be included in the New York Stock Exchange under the symbol RENN, prospectus showed. "School inside ' Renren has its roots date back to 2005, when the graduates of the University of Tsinghua in Beijing founded Xiaonei.com, or"school inside ". This was the year after the creation of Mark Zuckerberg, chief executive officer of Facebook, its service for fellow students of the University of Harvard.En 2006, Xiaonei was acquired by closed Oak Pacific Interactive Corp., which renames the Renren service in 2009. Softbank Corp., a carrier of the phone Japan the fastest-growing, is the largest shareholder of oak Pacific.Facebook Beijing-based has some Chinese users who circumvent censorship through virtual private networks supposedly, according to data compiled by Socialbakers.com, a website dedicated to the analysis of the statistics of Facebook.La company based in Palo Alto, California talks with potential partners on how to establish a foothold in China, a person familiar with the issue, said earlier this month. Entry into the country would give access to the largest Internet in the world market for Facebook, with more than 457 million users Web.Facebook will begin reporting financial results in April 2012, even if it does not make public, according to a document sent to potential investors. The company would be required to make disclosures because he expects to have at least 500 shareholders later this year, a threshold which makes the results necessary reports under SEC rules, a person who has examined the document said in January.

-Editors: Elizabeth Wollman, Nicholas Turner

To contact the reporters on this story: Joseph Galante in San Francisco at jgalante3@bloomberg.net; Brian Womack in San Francisco at bwomack1@bloomberg.net

To contact the editor responsible for this story: Thomas Giles in the tgiles5@bloomberg.net

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