SAN JOSE, Calif., July 14, 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
reached an agreement with Permira to sell approximately 125
million shares of its stake in Adevinta for an estimated total
consideration of $2.25
billion1. The price represents an
approximate 7% discount to the 10-day volume weighted average price
(VWAP) of Adevinta shares as of July
12, and a 5% discount to the 30-day VWAP as of July
12.
The transaction is expected to close in Q4 2021, once regulatory
approvals are secured, and will reduce eBay's ownership stake in
Adevinta from 44% to 34%. In addition, eBay has granted
Permira a 30-day option to purchase approximately 10
million additional shares at the same price representing an
additional $180 million in consideration2. If
Permira exercises the option, eBay's ownership in Adevinta will
reduce to 33%.
Under its recent agreement with Austrian regulators, eBay
committed to reduce its ownership in Adevinta to 33% to secure
approval for the eBay Classifieds Group and Adevinta transaction.
The transaction announced today with Permira provides a clear path
to satisfying this commitment, while delivering value to eBay
shareholders and introducing an experienced, world-class growth
investor to Adevinta's shareholder base.
About eBay
eBay 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.
About Permira
Permira is a leading global investment
firm focused on growth at scale. Founded in 1985, the firm advises
funds with total committed capital of approximately US$50bn (€44bn) and makes long-term majority and
minority investments. The Permira funds have made over 250 private
equity investments in four key sectors: Technology, Consumer,
Services and Healthcare. Permira employs over 350 people in 15
offices across Europe,
North America, and Asia.
The Permira funds have an extensive track record in investing at
the intersection of consumer/prosumer and technology, having backed
Allegro, Mirakl, TeamViewer, Klarna, LegalZoom, Flixbus, Ancestry,
Catawiki, Boats Group, The Knot Worldwide, BestSecret, Zwift and
Magento. For more information, visit
www.permira.com.
About Adevinta
Adevinta is a global online classifieds
specialist, operating digital marketplaces in 16 countries. The
company provides technology-based services to connect buyers with
sellers and to facilitate transactions, from job offers to real
estate, cars, consumer goods and more.
Adevinta's portfolio spans more than 40 digital brands, covering
one billion people and attracting approximately three billion
average monthly visits. Leading brands include top-ranked leboncoin
in France, Germany's leading classifieds sites mobile.de
and eBay Kleinanzeigen, Marktplaats in the Netherlands, Kijiji in Canada, fotocasa and InfoJobs in Spain, and 50% of fast-growing OLX Brasil.
Adevinta spun off from Schibsted ASA and publicly listed in
Oslo, Norway in 2019. Adevinta
employs nearly 7,000 people committed to supporting users and
customers daily. Find out more at Adevinta.com.
Forward-Looking Statements
This press release contains
forward-looking statements relating to, among other things, the
future performance of eBay Inc. and its consolidated subsidiaries
that are based on the company's current expectations, forecasts and
assumptions and involve risks and uncertainties. These statements
include, but are not limited to, statements regarding the potential
benefits of the transaction with Permira (the "Transaction"), the
impact of the Transaction on future results, the timing of the
closing of the Transaction and the Company's plans to reduce its
stake in Adevinta. Such forward-looking statements reflect eBay's
current expectations or beliefs concerning future events and actual
events may differ materially from historical results or current
expectations. The reader is cautioned not to place undue reliance
on these forward-looking statements, which are not a guarantee of
future performance and are subject to a number of uncertainties,
risks, assumptions and other factors, many of which are outside the
control of eBay. The following factors, among others, could cause
actual results to differ materially from those described in these
forward-looking statements: the possibility that regulatory and
other approvals and conditions to the Transaction are not received
or satisfied on a timely basis or at all; changes in the
anticipated timing for closing the Transaction; and other events
that could adversely impact the completion of the Transaction,
including the ongoing COVID-19 pandemic and other industry or
economic conditions outside of our control. In addition, actual
results are subject to other risks and uncertainties that relate
more broadly to eBay's overall business, including those more fully
described in eBay's filings with the Securities and Exchange
Commission ("SEC"), including its annual report on Form 10-K for
the fiscal year ended December 31,
2020 and subsequent quarterly reports on Form 10-Q. The
forward-looking statements in this document speak only as of this
date. We undertake no obligation to revise or update publicly any
forward-looking statement, except as required by
law.
1 Purchase price is NOK 157, or EUR
15.20 converted at NOK/EUR conversion rate of 10.328.
Implied purchase price of $18.02
converted at USD/EUR conversion rate of 1.1852
2 Based on purchase price of
NOK 157, or EUR 15.20 converted at NOK/EUR conversion rate of
10.328. Implied purchase price of $18.02 converted at USD/EUR conversion rate of
1.1852
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SOURCE eBay Inc.