eBay’s classified ad business will be sold to Adevinta for 9.2 billion dollars in cash and stock. eBay will receive 2.5 billion in cash and approximately 540 million shares. This gives eBay control of 44 percent of the company and 33 percent of the voting rights.
Adevinta is a major marketplace specialist from Norway. It owns many local brands, that together attracts 1.5 billion visitors per month. Leading local brands include Leboncoin in France, InfoJobs in Spain, Subito in Italy and Jofogás in Hungary.
These brands will now be joined by online marketplaces such as Gumtree, eBay Classifieds, Marktplaats.nl and 2dehands.be.
eBay will own a 44% stake in Adevinta
Adevinta says the acquisition is expected to be closed by the first quarter of next year and is subject to shareholder approval in Adevinta and customary regulatory and closing conditions. And as a result of the transaction, Schibsted, which currently owns 59 percent of Adevinta shares, will see its ownership decrease to 33 percent. Meanwhile, eBay gets 44 percent of shares.
Largest online classifieds company globally
“With the acquisition of eBay Classifieds Group, Adevinta becomes the largest online classifieds company globally, with a unique portfolio of leading marketplace brands”, Rolv Erik Ryssdal, CEO of Adevinta, says. “We believe the combination of the two companies, with their complementary businesses, creates one of the most exciting and compelling equity stories in the online classifieds sector.”
These two companies create one of the most exciting and compelling equity stories in the online classifieds sector.