Amazon Buys Chinese Online Retailer

The $75 million price tag gets the company its seventh global site.
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Amazon.com (AMZN) - Get Report gained another global foothold with the $75 million acquisition of Joyo.com, the largest online retailer of books, music and videos in China.

Amazon said Thursday that Joyo will become its seventh global site, and will allow it to service more than 80 million online users in China.

The $75 million price tag includes about $72 million in cash and the assumption of employee stock options. Amazon expects the transaction to close in the third quarter.

Amazon doesn't expect the deal to have a significant impact on net sales or operating profit in the third quarter or full-year fiscal 2004.

Amazon's shares were little changed by the news, recently up 8 cents to $39.44.