Tuesday, February 05, 2008

eBay Sells Stake in Kijiji India?

According to India's ContentSutra.com, eBay has sold a stake in their Kijiji India site to Matrix Partners an Indian VC firm:

"Kijiji India, the Indian site for Ebay Inc’s general classifieds business, will now be jointly owned by by the company and VC fund Matrix Partners, as per a release. The terms of agreement and details of the deal have not been disclosed, but suffice to say that Matrix is looking at Kijiji India as an early stage investment. The Avnish Bajaj connection is obvious - he’s the MD of Matrix Partners, and had sold Bazee.com to Ebay Inc. Bazee.com is now Ebay India. Bajaj says that the investment in Kijiji will be used to scale up its offerings, but I wonder why Ebay sold stake in Kijiji India."

I have the same question as the author of the quote; Why is eBay selling a share of Kijiji India? Is this a strategy change for each of the independent Kijiji sites? I don't have a clue, but it certainly is curious.

Anyway, just thought you would like to know.

1 comment:

Anonymous said...

Kijiji is such a catchy name. How do you pronounce it by the way?

Ebay owns a 25% stake in Craig's List and can't get a handle on profits there so they start a competitor for their own site.

Of course they can't charge for it since Clist is basically FREE and no one would pay.

Maybe they should just close it, open it, close it...like they did with Half.com.

Ebay is worse than inept...