Internet auctioneer &to=http:// english.pravda.ru/fun/2002/11/12/39416.html ' target=_blank>eBay in its latest move to boost slackening growth in the USA, said Wednesday it has agreed to buy Shopping.com, an online shopping-comparison site.
The $620 million cash acquisition is eBay's second-largest in the USA, after its $1.5 billion purchase of PayPal in 2002. The deal, which will fetch $21 per share for all of Shopping.com's outstanding shares, represents a 20% premium to Shopping.com's closing price of $17.44.
Shopping.com shares soared 20% in after-hours trading, following eBay's announcement. Shares of eBay dipped 1% in after-hours trading.
Analysts such as Mark Mahaney of Citigroup Smith Barney say they are concerned by recent declines in eBay's revenue growth and margins, tells USA Today.