eBay nears deal to sell Classified-ads Unit to Adevinta

eBay is reportedly getting close to a deal to sell its Classified-ads business to Adevinta, a Norwegian company that runs online marketplaces across Europe and Latin America. According to a Wall Street Journal report, if the negotiations are successful, a cash and stock deal could be announced as soon as Monday.

The transaction is expected to value eBay’s Classified business at about $8 billion, Report informs, citing WSJ.   eBay’s Classifieds division operates mostly outside of the United States, including Canada, Europe, Africa, Australia, and Mexico.

If Adevinta ends up acquiring it, it can expand its international portfolio of peer-to-peer e-commerce platforms.

During the first quarter of this year, eBay’s main marketplace business generated $2.1 billion in revenue, down, while its Classifieds business saw $248 million in revenue. In 2019, the Classifieds business made $1.1 billion in revenue, versus $7.6 billion for eBay Marketplace, which is weathering competition from larger online rivals like Amazon.