EBay To Sell Major Stake In Korean Businesses To Emart For $3 Bln

(RTTNews) - eBay Inc. (EBAY) announced Thursday an agreement to sell 80.01% interest in its Korean Businesses to Emart. The company would retain a 19.99% interest.

The company is divesting businesses including G-Market, IAC and G-9. eBay would receive around 3.44 trillion Korean won or $3.0 billion gross cash proceeds.

The implied value for the whole Korean Business is approximately $3.8 billion.

The transaction is expected to close by year-end or early next year, subject to regulatory approvals. eBay would also retain its stake of approximately 4% of Kakao Bank.

The combination of eBay Korea and Emart group of companies is expected to create one of Korea's leading ecommerce businesses.

The form of the purchase agreement, agreed upon by the parties, is subject to change only by mutual agreement between eBay and Emart.