The Leboncoin commercial site acquires part of the American auction platform eBay. Business continues during the crisis as the new group will become the world number one in classifieds.
Cost of the operation: 8 billion euros. Leboncoin – whose name sounds very French – is actually a site founded in France in 2006 but by a Norwegian conglomerate. Its parent company is still the Norwegian specialist in online ads. This group is called Adevinta, it also owns the Argus automobile in France. It’s a marriage of convenience. Adevinta takes over the classifieds business of the US online brokerage giant. Together, the two sites will be leaders in around twenty countries.
The economic crisis linked to the Covid-19 pandemic has accelerated the rapprochement. The idea had been around for some time and other potential shareholders were circling around, but the Norwegian was the most responsive and probably also the highest bidder with his eight billion euros. The almost generalized lockdown around the world has caused an influx of consumers to the internet: Faced with closed stores, customers have migrated to online shopping sites which have become real hens that lay golden eggs.
Even if the stores have reopened with the deconfinement, we can clearly see that the pandemic risk is still present with probable reconfigurations around the world and their consequences on physical commerce.
The takeover of eBay’s classifieds activity by Leboncoin’s parent company then takes on its full meaning: in this context of a potentially lasting pandemic crisis, internet sales – which is done at the expense of local shops – have to beautiful days ahead of her. Especially since Leboncoin is just one of the many sites operated by its Norwegian owner around the world. Along with Latin America, North Africa and Europe, Adevinta is present in fifteen countries. For its part, eBay has woven its web across the globe. Success is therefore assured. With some economies of scale involved, as with any merger. We are talking about 130 to 160 million euros in savings which remain to be defined. The operation is expected to be completed by the first quarter of 2021.