Britain’s markets watchdog has launched a full-scale investigation into eBay’s bid to create the world’s largest online business for classified ads.
The Competition and Markets Authority (CMA) has started examining eBay’s £7 billion (US$9.5 billion) deal with Norway’s Adevinta as part of a crackdown on digital monopolies.
The e-commerce giant is selling its classified ads business, which includes the hugely popular Gumtree website, to Adevinta for £1.8 billion (US$2.4 billion) in cash and 44% of the combined firm.
The deal will make eBay the largest shareholder in Norway’s Adevinta, which owns online ad websites in 20 countries and books annual revenues of £1.3 billion (US$1.77 billion).
Adevinta is one of a string of firms that has cashed in as people spend more time online during the pandemic.
The CMA is scrutinizing the deal because eBay’s classified ads unit owns both Gumtree and Motors.co.uk, which have millions of UK users between them.
Want more news? Subscribe to CPI’s free daily newsletter for more headlines and updates on antitrust developments around the world.
Featured News
UK Probes Lindab’s Acquisition of HAS-Vent Amid Fears of Market Monopoly
Apr 28, 2024 by
CPI
Shein Faces EU Regulations Over User Data
Apr 28, 2024 by
CPI
Google Fights Back Against US Antitrust Lawsuit
Apr 28, 2024 by
CPI
US Homeland Security Establishes Blue-Ribbon Board with Tech CEOs to Advise on AI
Apr 28, 2024 by
CPI
FTC Accuses Amazon Executives of Using Disappearing Messaging Apps to Conceal Evidence
Apr 28, 2024 by
CPI
Antitrust Mix by CPI
Antitrust Chronicle® – Economics of Criminal Antitrust
Apr 19, 2024 by
CPI
Navigating Economic Expert Work in Criminal Antitrust Litigation
Apr 19, 2024 by
CPI
The Increased Importance of Economics in Cartel Cases
Apr 19, 2024 by
CPI
A Law and Economics Analysis of the Antitrust Treatment of Physician Collective Price Agreements
Apr 19, 2024 by
CPI
Information Exchange In Criminal Antitrust Cases: How Economic Testimony Can Tip The Scales
Apr 19, 2024 by
CPI