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LivingSocial Snaps Up Daily Deal Companies in the Middle East and Asia

 & Leslie Horn Reporter

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After acquiring a handful of daily deals sites, LivingSocial has planted its feet in new eight additional countries. LivingSocial has snapped up three deal sites in Asia and the Middle East and started a new service in the Netherlands as a part of its effort to expand internationally.

LivingSocial, which is the number two group-buying site behind Groupon, confirmed to PCMag on Monday that it launched a daily deals site in the Netherlands and purchased three existing companies: Ensogo, DealKeren, and GoNabit. With 800,000 more than members, Ensogo, which owns DealKeren, is the number one deals site in Thailand and the Philippines, as well as Indonesia, where DealKeren is based. United Arab Emirates-based GoNabit is the top daily deal site in four Middle Eastern countries, Reuters reported.

"As with previous acquisitions, LivingSocial has again chosen to align with local companies that possess similar values and ways of doing business," LivingSocial chief executive and co-founder Tim O'Shaughnessy said. "We are excited to enter the dynamic Asian market and our presence in the Middle East and the Netherlands further strengthens our strategic global efforts to bring LivingSocial values to members across the globe."

LivingSocial says its expansion strategy is to both set up new daily deal sites as well as to acquire existing services.

LivingSocial's senior vice president of corporate and business development Jake Maas told Reuters that the company's "strategy is to partner with and work with local teams who share the long-term vision of LivingSocial."

In April, LivingSocial announced that it raised $400 million in new funding in order to "accelerate its already aggressive growth both internationally and domestically." These acquisitions, as well as last month's acquisition of French daily deal site Dealissime.com are the first indications of how LivingSocial is using that fresh cash. The terms of the deals have not been disclosed.

LivingSocial, which has 39 million subscribers and 2,000 employees across the globe, now has a presence in 21 countries. The company expects to make $1 billion this year.

The daily deals industry has been heating up this year, with a number of new players entering the game. Facebook and Google have entered the space, and Groupon filed for a $750 million IPO earlier this month.

About Our Expert

Leslie Horn

Leslie Horn

Reporter

Leslie Horn joined the PCMag team as a news reporter in the fall of 2010. She covered a wide range of topics, from digital media to the latest Apple rumor. After graduating with a degree in Magazine Journalism from the University of Missouri, she wrote for Out & About, a travel guide in coastal Maine. One of her favorite reporting experiences was covering the 2008 Olympics from Beijing. She travels every chance she gets; a favorite trip was backpacking along the coast of Brazil. Though she was born and raised in Dallas, Texas, Leslie embraces life as a New Yorker.

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