EBay Inc. said it’s in active talks with multiple parties about a potential transaction for its classified-ads business, responding to pressure from activist investors to improve its performance.
"eBay has been exploring potential value-creating alternatives for Classifieds and continues to be in active discussions with multiple parties regarding a potential transaction. As previously noted, eBay expects to provide an update regarding this process by the middle of the year. eBay remains committed to maximizing the value of Classifieds for eBay shareholders," Ebay said.
The strategic review of Classifieds is part of eBay’s broader portfolio review, which resulted in the sale of StubHub to European rival Viagogo for $4.05 billion in cash.
Activists Starboard Value and Elliott Management Corp. last year proposed a plan to improve EBay’s performance, including a sale of StubHub and the classifieds business.