Business
eBay Completes Transfer of Classifieds Business to Adevinta
Company receives cash and shares, increases 2021 share repurchase plan SAN JOSE, Calif., June 25, 2021 /PRNewswire/ -- eBay Inc. (Nasdaq: EBAY), a global
About this update from Ebay Inc.
[{"type":"text","content":"Company receives cash and shares, increases 2021 share repurchase plan\n\n\nSAN JOSE, Calif., June 25, 2021 /PRNewswire/ -- eBay Inc. (Nasdaq: EBAY), a global commerce leader that connects millions of buyers and sellers around the world, today announced that it has completed the transfer of its Classifieds business to Adevinta in exchange for $2.5 billion in cash and a 44% equity stake in Adevinta, equivalent to approximately 540 million shares. \n\n \n \n \n \n \n \n\n \n\"We are pleased to finalize the deal between Adevinta and eBay Classifieds, where the combination of these two companies will create a leading global online classifieds business,\" said Jamie Iannone, Chief Executive Officer, eBay. \"By joining Adevinta, the eBay Classifieds' business has an enormous opportunity ahead. We are optimistic that the breadth of talent and collective experience across the combined portfolio will offer additional value for our customers, employees and shareholders.\" \nThe completion of this transaction results in after tax net cash proceeds of approximately $2 billion. With this transfer complete, the Company is updating its capital allocation plans for 2021 by increasing its estimated share buyback from $2.0 billion to $5.0 billion.\nThe Company has agreed to reduce its ownership stake in Adevinta to 33% or less over the next 18 months, as part of remedies it proposed to resolve the competition concerns raised by the Austrian regulatory authorities. Proceeds from this reduction will be deployed in a manner consistent with eBay's capital allocation tenets and targets. \nPlease reference the 8-K eBay filed today for further information.\nAbout eBayeBay Inc. (Nasdaq: EBAY) is a global commerce leader that connects millions of buyers and sellers in 190 markets around the world. We exist to enable economic opportunity for individuals, entrepreneurs, businesses and organizations of all sizes. Founded in 1995 in San Jose, California, eBay is one of the world's largest and most vibrant marketplaces for discovering great value and unique selection. In 2020, eBay enabled $100 billion of gross merchandise volume. For more information about the company and its global portfolio of online brands, visit www.ebayinc.com.\nAbout AdevintaAdevinta is a global online classifieds specialist, operating digital marketplaces in 16 countries. The company p...