Spain’s Terra Injects Lycos With $17 Billion
Spain's Terra Networks have announced that their shareholders have approved the company's US$12.5 billion purchase of U.S. Internet portal Lycos. The shareholders also okayed $17.7 billion in capital increases to pump up liquidity in the new arm. "The acquisition of Lycos is the big leap that will allow us to position ourselves as a truly global company," Terra president Juan Villalonga said at the company's shareholders meeting. The Spanish-language Internet server and provider announced last month its intention to purchase Lycos as an inroad to the U.S. market. Terra is moving its headquarters to Barcelona, with corporate offices in Boston and Miami. Terra is 67%-owned by Spanish telecom giant Telefonica. Last month, Lycos launched a Net destination site, which features three channels of animation.