An updated report on the auction for EBay Classifieds Group has been posted; this post has been edited.
EBay has scheduled a board meeting on July 17 to select a buyer for its Classified Group, comprising 10 international titles, according to a report from Reuters. According to Bloomberg, Prosus has handed in the highest offer, putting the Naspers-owned business in pole position to win the tender.
On the table are two all-cash bids — one from international marketplaces operator Prosus, and the other from a consortium of private equity firms, namely Blackstone, Hellman & Friedman and Pemira. A third cash-and-share offer has been made by Norwegian classifieds group Adevinta, according to unnamed sources.
EBay could start exclusive talks with one of the three as soon as next week, the report stated.
Prosus and Adevinta declined to comment to Reuters, while EBay and the private equity bidders were not available.
The story put the potential value of the sale at $10 billion, which puts it in line with previous estimates. Last year, activist investor Elliott Management estimated that the sale would be valued at between $8 billion and $12 billion.
Although the global economy has been hit hard by the pandemic, many online marketplaces have benefitted from consumers’ switch toward online channels. Case in point: the wildly successful fundraising efforts by U.S. digital car retailers Vroom, Carvana and Shift.