Ebay has sold its ticket marketplace StubHub to Viagogo for $4.05 billion in cash.
Scott Schenkel, interim chief executive officer of eBay Inc said the company believes the transaction is a great outcome for eBay shareholders, maximising long-term value.
Mr Schenkel said: "Over the past several months, eBay’s leadership team and Board of Directors have been engaged in a thorough review of our current strategies and portfolio, and we concluded that this was the best path forward for both eBay and StubHub.
Both StubHub and Viagogo are ticket exchange companies, offering a reselling service to fans and ticket sellers.
Viagogo's founder Eric Baker co-founded StubHub when he was in business school but left before the business was sold to eBay for $310 million in 2007.
He said it has been a dream of his to bring the two companies together: "I am so proud of how StubHub has grown over the years and excited about the possibilities for our shared future,” Baker said. “Buyers will have a wider choice of tickets, and sellers will have a wider network of buyers. Bringing these two companies together creates a win-win for fans - more choice and better pricing.”
The sale is expected to close by the end of the first quarter of 2020.