Rakuten on Spending Spree, Will Drop $1B on Ebates
September 10, 2014
Rakuten (TSE: 4755) has agreed to acquire Ebates, an online shopping service that provides rewards and online coupons through its network of sites. The deal, in which Rakuten will take over 100% of Ebates' outstanding voting stock, is reportedly for $1 billion in cash. Because it is an online marketplace, Rakuten will be able to integrate Ebates directly into its service. In 2013, Ebates' members spent over $2.2 billion shopping through the site. Backers of Ebates included August Capital, Canaan Partners and Foundation Capital. Just six months ago, Rakuten agreed to purchase Viber, a mobile messaging app, for $900 million.