- eBay has acquired BillMeLater, the payment company that recently received a sizable investment from Amazon. “We are making aggressive moves to strengthen our leadership positions in e-commerce and payments to competitively position our company for long-term growth,” said John Donahoe, eBay Inc.’s president and chief executive officer. “Bill Me Later is a natural addition to our portfolio, a company that belongs with PayPal. Together, PayPal and Bill Me Later will make online payments safer, easier and more convenient than ever.” This move certainly wasn't on anyones radar.
- eBay Reduces workforce by 10% - "affecting about 1,000 employees in addition to several hundred temporary workers and the reduction of open positions.
The reduction is expected to result in pretax restructuring charges of approximately $70 million to $80 million, with the charges predominantly recorded in the fourth quarter of 2008. According to the press release, “the global reduction is intended to simplify and streamline eBay’s organization, improve the company’s cost structure and strengthen the overall competitiveness of the company’s existing businesses.” according to eBayInk.
- eBay also has acquired: Denmark’s leading online classifieds site dba.dk and vehicles site bilbasen.dk. According to the press release. "“Our classifieds acquisition gives us another market leadership position in Europe for this rapidly growing part of our portfolio,” Donahoe said. “We are the global leader in classifieds with top positions in Canada, Australia, Germany, Japan and the United Kingdom, and sites in more than 1,000 cities across 20 countries. The acquisition of dba.dk and bilbasen.dk gives us technology and expertise we can leverage across our classifieds portfolio to create better customer experiences.”
- The company also stated it expects to hit the low end of its Q3 2008 revenue guidance and exceed GAAP and non-GAAP earnings per share guidance as issued in conjunction with its second quarter earnings release on July 16. eBay is scheduled to announce third quarter results on October 15 according to eBayInk.
Monday, October 06, 2008
Big eBay News! Layoffs and Acquisitions.
eBay news this morning ahead of the investor conference call:
Well, we certainly knew that the layoffs would be happening and that some acquisitions would be made, but I was very surprised by the purchase of BillMeLater, that is a huge move to further entrench PayPal. I wonder where this leaves Amazon's relationship with BillMeLater. I'll provide more information as I hear it.
Here is the entire press release. Also the investor call is scheduled at 5:30 AM PST and the slides for the presentation can be found at the eBay Investor Relations site.
Listen to the webcast here
Just my 15%