EBay kicked off Tuesday with news that it’s selling Skype to an investor group for $1.9 billion in cash plus a $125 million note—and a bit of a surprise that it’s keeping a 35 percent interest. The SEC document just filed sheds a little more light on the deal, which values Skype at $2.75 billion. Some details:
—Marc Andreesen, a member of eBay’s board, is also part of the investor group via his Andreessen Horowitzfund. The fund will wind up with less than 5 percent of Skype. (Andreessen personally is also an investor in The Business Insider, which is reporting now that the stake is closer to 2 percent and cost the fund $50 million.)
—Skype will remain affiliated with eBay’s PayPal unit: “Skype is expected to enter into a new commercial agreement with PayPal, Inc.”
—“With respect to certain specified litigation matters, the Sellers have also agreed, among other
things, to bear 50 percent of the cost of any monetary judgment that is rendered following the closing of the transaction.” EBay also agrees not to settle the law the pending litigation with Joltid Limited without the consent of the buyer (subject to some limitations). Run by Skype founders Niklas Zennstrom and Janus Friis, Joltid and eBay (NSDQ: EBAY) are battling over P2P technology.
—The termination fee is $300 million.
By Staci D. Kramer