In 2013, US-based cash-back shopping website Ebates processed more than US$2.2 billion worth of transactions
Japanese e-commerce firm Rakuten today announced its plans to acquire US-based cash-back shopping website Ebates for US$1 billion in cash.
Additionally, it will hold 100 per cent of Ebates’ outstanding voting stock.
Hiroshi Mikitani, Founder and CEO, Rakuten said in an official statement, “The combination of Rakuten and Ebates is entirely unique and will revolutionise e-commerce. 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.”
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For background, Ebates rewards shoppers with cash rebates on purchases while providing access to coupons, discounts, promotions and deals with more than 2,600 retailers. In 2013, Ebates processed more than US$2.2 billion worth of transactions.
Going forward, Ebates will also be able to leverage on Rakuten’s resources to accelerate its US and international growth plans. It is also likely that Rakuten will use this acquisition as a way into the US market and integrate Ebates into its current loyalty programme Rakuten Super Points.
The deal is slated to be completed in a month’s time, according to TechCrunch.
For the record, Rakuten has previously acquired a number of other tech companies such as Viki, Viber and Slice. Viber was acquired for a US$900 million.
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