EBay Nears Deal to Sell Classified-Ads Unit to Adevinta

By Ben Dummett, Corrie Driebusch and Cara Lombardo

EBay Inc. (EBAY) is in advanced talks to sell its classified-ads business to Norway's Adevinta ASA (ADEVF), according to people familiar with the matter, as the online auction pioneer seeks to refocus on its core marketplace business.

A cash-and-stock deal could be announced as soon as Monday assuming the talks don't fall apart, the people said. The price of the deal couldn't be learned but the eBay (EBAY) unit was expected to sell for roughly $8 billion or more, some of the people said.

San Jose, Calif.-based eBay (EBAY), once a high-flying internet conglomerate with brands like PayPal and StubHub, has been unwinding that structure under pressure from activist investors who argued it shrouded eBay's (EBAY) value. The classifieds unit is one of the last remaining businesses outside the core after the company struck a deal to sell its StubHub ticketing division last year.

EBay's (EBAY) classifieds unit primarily operates internationally across Canada, parts of Europe, Africa, Australia and Mexico. Its platforms allow users to post goods and services in their local communities, similar to Craigslist in the U.S. Last year, the division produced $1.1 billion in revenue, compared with the $7.6 billion its marketplace business generated.

Write to Ben Dummett at ben.dummett@wsj.com, Corrie Driebusch at corrie.driebusch@wsj.com and Cara Lombardo at cara.lombardo@wsj.com

  (END) Dow Jones Newswires
  07-20-20 0053ET
  Copyright (c) 2020 Dow Jones & Company, Inc.

News, commentary and research reports are from third-party sources unaffiliated with Fidelity. Fidelity does not endorse or adopt their content. Fidelity makes no guarantees that information supplied is accurate, complete, or timely, and does not provide any warranties regarding results obtained from their use.