2007.04.06
Digital Garage Subsidizes Major Real Estate Advertiser Sogei through Affiliate To Reinforce Solutions Business in the Real Estate Sector, where IT Promotion is Rapidly Expanding
Eyes tapping new business fields by reorganization inside group
On April 6, Digital Garage, Inc. (JASDAQ code: 4819, headquartered in Shibuya-ku, Tokyo, Japan, CEO: Kaoru Hayashi, henceforth DG) acquired 100% of the outstanding shares of Sogei Inc. (headquartered in Chuo-ku, Tokyo, CEO: Masaharu Nishimoto, henceforth Sogei), a major real estate advertising agency, through its affiliate, intermediate holding company DG Solutions Co., Ltd. (headquartered in Shibuya-ku, Tokyo, CEO: Taizo Ieuji, henceforth DG Solutions), which holds more than 11% of Sogei’s shares.
We will implement new IT promotion and marketing of high ROI (Return on Investment) real estate advertisements by incorporating Sogei and its lengthy history in the field of real estate advertising into the group and combining its technologies and expertise with the advanced solutions of the DG group. We also intend to enter new business fields thorough this integration reorganization of Sogei and other companies in the group.
As the first step of this reorganization within the group, Sogei jointly setup a new web site "mansion DB,” a sort of sommelier to assist in the selection of condominiums, with Kakaku.com, Inc. (TSE First Section: 2371, headquartered in Bunkyo-ku, Tokyo, CEO: Minoru Tanaka, henceforth Kakaku.com), which runs the largest price comparison site in Japan, "kakaku.com," at the end of April. The new site will provide information on newly-constructed condominiums.
"mansion DB" is a cost-effective "real estate 2.0 site" leveraging Web 2.0 and offering up-to-date neighborhood information and detailed three dimensional property information.
The DG group positions "mansion DB" as a new service supporting the accurate matching of users and developers, as well as a new portal business that replaces conventional newspaper fliers and four mass media outlets.
Currently, "mansion DB" covers newly-constructed condominiums in the three metropolitan areas of Kanto, Tokai and Kinki, but other areas will be added in the future.
Our final target is to cover roughly 1,000 newly-built condominiums.
Outline of Sogei Inc.
| Company Name: | Sogei Inc. |
|---|---|
| Establishment: | 1962 |
| Capital: | 50 million yen |
| Location: | 1-15-7, Tsukishima, Chuo-ku, Tokyo |
| Representative: | Masaharu Nishimoto, CEO |
| Businesses: | Planning, proposal, production and execution of advertising, marketing research, sales promotion, public relations and other advertising-related businesses |
| Main clients: | 153 companies |
| Sales per year: | 35.6 billion yen (fiscal year ending in March 2006) |
