(Bloomberg) -- EBay Inc., operator of the most visited U.S. e-commerce site, offered to buy South Korea’s Gmarket Inc. for $1.2 billion to expand overseas.
EBay will make a cash offer to buy all outstanding shares of Gmarket for $24 apiece, the San Jose, California-based company said in a Business Wire statement. Under an agreement with Gmarket’s management and investors, the U.S. company will own at least 67 percent of the South Korean company, it said.
The purchase may help EBay, whose sales declined for the first time last quarter, more than double revenue in South Korea. EBay said it plans to combine operations at Gmarket, which generated revenue of about $220.8 million last year, with those of Seoul-based EBay subsidiary Internet Auction Co.
Yahoo! Inc. said it agreed to sell its stake of about 10 percent to EBay, while Seoul-based Interpark Corp. said in a regulatory filing it sold 14.6 million shares of Gmarket for $350 million. Other investors that have agreed to sell include Interpark Chief Executive Officer Lee Ki Hyung, EBay said.
EBay fell 0.4 percent to $14.32 yesterday in trading on the Nasdaq Stock Market. Gmarket rose 3.2 percent to $19.96.
Read more at Bloomberg
Wednesday, April 15, 2009
Rough start seen for stocks
(CNNMoney.com) -- U.S. stock futures wavered Wednesday as investors digested results from Intel and awaited a wave of economic readings.
At 5:06 a.m. ET, Dow Jones industrial average, Standard & Poor's 500 and Nasdaq 100 futures were pointing to a mixed start for Wall Street.
Futures measure current index values against perceived future performance and give an indication of how markets may open when trading begins in New York.
Intel: The chipmaker posted a drop in quarterly profit after U.S. markets closed Tuesday. The results topped Wall Street's estimates, but shares fell in after-hours trading after Intel (INTC, Fortune 500) chose to not issue a formal sales guidance.
Economy: Reports on consumer prices and manufacturing activity in New York come at 8:30 a.m. ET. A report on industrial production and capacity utilization is due out at 9:15 a.m. ET. After the market opens, investors will take in the Fed's beige book of economic conditions.
Read more at CNNMoney
At 5:06 a.m. ET, Dow Jones industrial average, Standard & Poor's 500 and Nasdaq 100 futures were pointing to a mixed start for Wall Street.
Futures measure current index values against perceived future performance and give an indication of how markets may open when trading begins in New York.
Intel: The chipmaker posted a drop in quarterly profit after U.S. markets closed Tuesday. The results topped Wall Street's estimates, but shares fell in after-hours trading after Intel (INTC, Fortune 500) chose to not issue a formal sales guidance.
Economy: Reports on consumer prices and manufacturing activity in New York come at 8:30 a.m. ET. A report on industrial production and capacity utilization is due out at 9:15 a.m. ET. After the market opens, investors will take in the Fed's beige book of economic conditions.
Read more at CNNMoney
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