OSLO (Reuters) – The British competition authority (CMA) has expressed concerns about the planned acquisition by Norway’s Adevinta of eBay (NASDAQ:)’s classified ads business, Adevinta said on Tuesday.
The deal, worth $9.2 billion and announced in July, would create the world’s largest classifieds group if it were to go ahead.
Britain accounted for less than 10% of the consolidated revenues of Ebay’s classified business, which includes Gumtree, and 1% of Adevinta’s consolidated revenues, Adevinta said.
Adevinta and eBay will together propose legally binding solutions to resolve the regulator’s concerns before the deadline of Feb. 23, Adevinta said.
The CMA would then have five working days to consider whether to accept their proposals, or to refer the deal to an in-depth investigation, the firm said.
Adevinta said it would provide a further update in early March following the CMA’s decision.
(This story corrects to show that Ebay owns Gumtree in Britain, is not a competitor of Gumtree)
Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.