Adevinta acquires eBay’s classified ads business unit in a $9.2 billion deal
On Tuesday, Ebay Inc. (EBAY.O) announced that it had reached a deal to sell off its classified ads business unit to Adevinta ASA (AD5B), a Norway-based classified ads publisher owned by Danish media company Schibsted (SBSTA.OL).
The classified unit deal is valued at $9.2 billion that includes eBay getting $2.5 billion in cash and 540 Million Adevinta shares. The deal makes eBay a 44% owner of Adevinta with a 33.3% voting stake.
“Adevinta becomes the largest online classifieds company globally, with a unique portfolio of leading marketplace brands,” Adevinta’s Chief Executive Officer Rolv Erik Ryssdal stated.
“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,” he added.
Adevinta’s shares jumped by 39% on the news after the morning trade.