In today's online world users are suffering with the problem of information overload. To handle this problem, recommender systems assist users in giving required information by filtering out irrelevant information. So, most of the recommender systems mainly strive to achieve only accuracy in recommendations but this is not just what users want. Users require more coverage and diversity in recommendations mainly in the case of news domain which is highly dynamic in nature. To handle the issues of coverage and diversity we have worked on proactive predictions of those user interests which could not have been predicted by just user behavior analysis. User interest has been expanded on the basis of Concepts, sub concepts, entities, properties and relationships stored in our designed news domain ontology. Ontology design is based on news industry standards and careful study of the domain. It is also semantically annotated with context sensitive knowledge, extracted from external knowledge source DBpedia. It is obvious that only useful diversity in coverage will be appreciated by the users. Therefore along with improvement in coverage and diversity in recommendations, we have also experimentally evaluated the usefulness of diversity by implicit user behavior analysis. Improvements in results have been shown in the paper. It has also been noticed that user' profile contains interest score only in the news areas which user has ever touched. Due to which other news areas have no values for user interest causing sparse data problem. New score predicted for these unknown values in user's profile also helps to handle the issue of sparsity up to a certain extent. In our approach we have tried to handle this issue also along with above mentioned issues in news recommendation. Reduction in sparsity has been noticed in the users' profiles.Keywords-Ontology, semantic user profile, semantic linking, error free expansion of user profile, sparsity, coverage, diversity.