eBay announced that it has agreed to acquire iBazar S.A.
(http://www.iBazar.com). iBazar launched in France in October 1998 and now has online marketplaces in eight countries: Belgium, Brazil, France, Italy, the Netherlands, Portugal, Spain, and Sweden. iBazar has a total of 2.4 million registered users, and reported more than 3.1 million listings in the fourth quarter 2000. iBazar realized gross merchandise sales (GMS) of more than $95 million in 4Q 2000, compared to eBay's GMS of $137 million in Europe.
eBay is currently in nine international markets, including the United Kingdom, Germany, Austria, France, Italy, Canada, Australia, Japan, and Korea. The acquisition of iBazar solidifies its position in Europe. Approximately 70% of iBazar's users are now located outside France.
As consideration for 100 percent of the outstanding shares of iBazar, eBay will issue approximately 2.25 million shares of common stock, subject to a minimum valuation of $66 million and a maximum valuation of $112 million, based on the value of eBay stock at closing. The deal is expected to close in the second quarter of 2001.
"Today we are much closer to realizing our dream of a marketplace where people anywhere on the planet can seamlessly trade almost anything," said Meg Whitman, President and CEO of eBay.
