eBay Korea Likely to be Sold

eBay Korea is expected to be sold to cause a sea change in the domestic e-commerce market.

eBay Korea is expected to be sold to cause a sea change in the domestic e-commerce market. The value of the company is estimated at five trillion won.According to Bloomberg, the eBay HQ is considering various options in South Korea in order to maximize shareholder value and create growth opportunities. This implies that the HQ is considering selling eBay Korea to another company.

eBay Korea is currently running Auction, Gmarket and G9 and its sales account for more than 10 percent of the total sales of eBay. eBay Korea is one of the few profit-making e-commerce channels in South Korea and its sales and operating profit were 1,095.4 billion won and 61.5 billion won in 2019, respectively. Last year’s sales and operating profit are expected to exceed those.

Who will acquire the company is becoming a matter of great interest in that eBay Korea’s market share is around 10 percent and the acquirer can become the largest company in the market. At present, candidates include major domestic logistics companies and foreign private equity firms.