Hasta la Vista, Quepasa
You won't have Quepasa (ASE: QPSA) to kick around much longer.
The fledgling Spanish-language social networking site that found new life after acquiring the much larger parent company of social discovery website myYearbook is going in for a name change.
No, Quepasa is not embracing myYearbook as its new moniker. In fact, even the fast-growing hub that centers around social gaming is getting a new name.
MeetMe is the new corporate identity, and myYearbook itself will be rebranded as MeetMe this summer. The ticker symbol will eventually change to MEET.
"MeetMe reflects the company's mission -- to build the leading social network for meeting new people -- and underscores what our members across the Americas already expect each time they log in," CEO John Abbott is quoted as saying in this morning's press release.
It's just as well. Even if the new moniker sounds more like a dating site, the Quepasa name didn't make any sense after it completed the acquisition of myYearbook.
Not only is myYearbook larger, but the 24% top-line growth delivered by the combined company last year was essentially the handiwork of myYearbook's booming popularity.
Sure, Quepasa had its speculative bursts in the past. Whenever there was a whiff of a Facebook IPO, shares of Quepasa and China's Renren (NAS: RENN) would temporarily leap higher as the two pure plays in social networking before the more prolific LinkedIn (NAS: LNKD) entered the room last year.
It didn't matter that Quepasa was -- and is still -- far from profitable. Renren and LinkedIn commanded market caps in the billions, though LinkedIn has gone on to earn its lofty IPO price tag by generating better-than-expected bottom-line results in its first three quarters as a public company.
The MeetMe move makes sense, but only as long as myYearbook users continue to support the rebranded platform after the new name kicks in come July.
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