eBay eyes Asia for new deals to secure growth

8 years ago by in Japan Archives

The online auction service eBay said it is looking to acquisitions in Asia, a region that could become the main factor of growth for the company in the next five years.

After securing six acquisitions in the second quarter of this year, eBay is further looking to buying out companies in Japan and China.

eBay’s managing director for Asia-Pacific, Jay Lee, said the company has the money to go for other companies, even if the process is usually very complex.

“We’re always in talks with a lot of people but deals take forever to get done. There isn’t a lack of appetite, and we have a strong balance sheet and very strong cash flow,” Lee said.

Currently, about 20 percent of eBay’s revenue comes from Asia, while Europe and the U.S. each account for around 40 percent.

eBay acquired South Korea online marketplace Gmarket in 2009. In the last quarter, it bought out the U.S. e-commerce provider GSI Commerce for $2.4 billion.

The business increased for eBay in the second quarter revenue by 25 percent, to $2.8 billion, but profit was affected by the GSI Commerce deal.