eBay Inc. (NASDAQ:EBAY) today announced the pricing of a $3.0 billion
underwritten public offering of its senior unsecured notes, consisting
of $250 million of 0.70% Notes due 2015 (the “2015 Notes”), $1.0 billion
of 1.35% Notes due 2017 (the "2017 Notes"), $1.0 billion of 2.60% Notes
due 2022 (the "2022 Notes") and $750 million of 4.00% Notes due 2042
(the "2042 Notes"). The public offering price of the 2015 Notes was
100.000% of the principal amount, the public offering price of the 2017
Notes was 99.943% of the principal amount, the public offering price of
the 2022 Notes was 99.869% of the principal amount and the public
offering price of the 2042 Notes was 99.017% of the principal amount, in
each case plus accrued interest, if any. The offering is expected to
close on July 24, 2012.
eBay intends to use the net proceeds from the offering for general
corporate purposes.
The offering is being made through an underwriting syndicate led by J.P.
Morgan Securities LLC, Citigroup Global Markets Inc., Credit Suisse
Securities (USA) LLC and Deutsche Bank Securities Inc., as joint
book-running managers; Goldman, Sachs & Co., HSBC Securities (USA) Inc.,
Merrill Lynch, Pierce, Fenner & Smith Incorporated, Morgan Stanley & Co.
LLC, RBS Securities Inc. and Wells Fargo Securities, LLC, as senior
co-managers; and Barclays Capital Inc., BNP Paribas Securities Corp.,
BNY Mellon Capital Markets, LLC, Mitsubishi UFJ Securities (USA), Inc.,
RBC Capital Markets, LLC, Standard Chartered Bank, The Williams Capital
Group, L.P. and UBS Securities LLC, as co-managers. A copy of the
prospectus supplement and prospectus related to the offering may be
obtained by contacting J.P. Morgan Securities LLC at 1-212-834-4533,
Citigroup Global Markets Inc. at 1-877-858-5407, Credit Suisse
Securities (USA) LLC at 1-800-221-1037 or Deutsche Bank Securities Inc.
at 1-800-503-4611.
These securities are offered pursuant to a registration statement that
has become effective under the Securities Act of 1933, as amended. These
securities are only offered by means of the prospectus supplement and
prospectus related to the offering. This press release shall not
constitute an offer to sell or the solicitation of an offer to buy, nor
shall there be any offer or sale of these securities in any state or
other jurisdiction, where the offer, solicitation or sale of these
securities would be unlawful prior to the registration or qualification
under the securities laws of any such state or other jurisdiction.
Forward-Looking Statements
This press release contains forward-looking statements relating to,
among other things, the future performance of eBay and its consolidated
subsidiaries that are based on the company's current expectations,
forecasts and assumptions and involve risks and uncertainties. The
company's actual results could differ materially from those predicted or
implied and reported results should not be considered as an indication
of future performance. Factors that could cause or contribute to such
differences include, but are not limited to: changes in political,
business and economic conditions, including any European or general
economic downturn or crisis and any conditions that affect ecommerce
growth; fluctuations in foreign currency exchange rates; changes to our
capital allocation, including increasing liquidity above current levels,
the company's ability to profitably integrate, manage and grow
businesses that have been acquired recently or may be acquired in the
future; the company's need to successfully react to the increasing
importance of mobile payments and mobile commerce and the increasing
social aspect of commerce; the company's ability to deal with the
increasingly competitive ecommerce environment, including competition
for its sellers from other trading sites and other means of selling, and
competition for its buyers from other merchants, online and offline; the
company's need to manage an increasingly large enterprise with a broad
range of businesses of varying degrees of maturity and in many different
geographies; the effect of management changes and business initiatives;
the company's need and ability to manage other regulatory, tax and
litigation risks as its services are offered in more jurisdictions and
applicable laws become more restrictive; any changes the company may
make to its product offerings; the competitive, regulatory, credit card
association-related and other risks specific to PayPal and Bill Me
Later, especially as PayPal continues to expand geographically and
introduce new products and as new laws and regulations related to
financial services companies come into effect; the company's ability to
timely upgrade and develop its systems, infrastructure and customer
service capabilities, including GSI's v.11 initiative, at reasonable
cost; and the company's ability to maintain site stability and
performance on all of its sites while adding new products and features
in a timely fashion. The forward-looking statements in this release do
not include the potential impact of any acquisitions or divestitures
that may be announced and/or completed after the date hereof.
Undue reliance should not be placed on the forward-looking statements in
this release, which are based on information available to the company on
the date hereof. eBay assumes no obligation to update such statements.
