Rakuten has agreed to acquire Ebates Inc. (“Ebates”), provider of the largest cash-back shopping web site in North America, the Japanese Internet company announced on 9 September.
The company will acquire Ebates for a total consideration of $1 billion in cash, and will hold 100% of Ebates outstanding voting stock, the company said in a statement.
Rakuten is the global pioneer of the B2B2C marketplace shopping model, whereas Ebates is the pioneer and leader in online cash back shopping, which rewards shoppers with cash back on purchases while also providing access to thousands of coupons, discounts, promotions and special deals, including free shipping, at over 2,600 retailers. In 2013, members spent over $2.2 billion shopping through Ebates. Together, Rakuten and Ebates will be able to offer its members the most empowering—and rewarding—shopping experience available anywhere, the Japanese company said in its statement.
“The combination of Rakuten and Ebates is entirely unique and will revolutionize e-commerce,” commented Rakuten, Inc. founder and CEO Hiroshi Mikitani. “This is all about the consumer and we are excited to be able to empower our members with even more ways to enjoy shopping on Rakuten and Ebates. Combined, Rakuten and Ebates will be able to offer our members access to what will undoubtedly be the world’s largest selection of products across the broadest range of categories. It will also give our members the greatest incentives to keep shopping.”
“Rakuten and Ebates have a unified vision of empowerment: empower our members with the best loyalty incentives possible; and empower our merchant partners by providing them with the tools and know-how they need to succeed at e-commerce," said Ebates CEO, Kevin Johnson. "Joining forces with Rakuten will help accelerate our US and international growth and provide deeper and richer shopping experiences for our members.”
Rakuten believes that the combination of the two companies will help create the world’s most attractive and innovative membership-based, loyalty-driven marketplace for consumers.
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