eBay (EBAY) Sells Portion of Adevinta Stake for $2.25B to Permira
- Wall Street surges to all-time closing high on earnings, economic revival
- Was Intel's (INTC) Second Quarter a Speedbump or Inflection?
- Twitter (TWTR) Gains After Beating Q2 Estimates, Analysts Raise PTs as Brand Recovery Accelerates
- U.S. dollar on track for second week of gains; Fed meeting in focus
- Snap (SNAP) Surges 17% After Smashing Q2 Views Across the Board to Yield a Dozen Price Target Hikes
News and research before you hear about it on CNBC and others. Claim your 1-week free trial to StreetInsider Premium here.
eBay Inc. (Nasdaq: EBAY) 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.
Serious News for Serious Traders! Try StreetInsider.com Premium Free!
You May Also Be Interested In
- Lucid Motors (LCID) and Churchill Capital Corp IV (CCIV) Close Business Combination
- The New Home Co. (NWHM) to Be Acquired by Funds Managed by Apollo (APO) for $9 Per Share, $338M Transaction
- Churchill Capital Corp IV (CCIV) Stockholders Approve Merger with Lucid Motors
Create E-mail Alert Related CategoriesCorporate News, Mergers and Acquisitions, Private Company News
Sign up for StreetInsider Free!
Receive full access to all new and archived articles, unlimited portfolio tracking, e-mail alerts, custom newswires and RSS feeds - and more!