The company has seen 900% growth over the last three yearsRead more...
While neither company has confirmed the story, the acquisition follows a week of buyout rumors
Google has just purchased Groupon for $2.5 billion, according to an unnamed insider who spoke with VatorNews. Neither Google nor Groupon could be reached for comment to confirm the report, but Vator’s source is reliable and the report falls in line with the recent string of Groupon acquisition rumors.
Talk about a possible acquisition by Google has been bubbling since November 19, when rumors first emerged that Google had made an offer of some $2 billion to $3 billion. The rumors were first reported by Kara Swisher of All Things D, who claimed that Google and Groupon were already in acquisitions discussions.
Groupon has been quite the hot topic these days. Earlier this month, Groupon was rumored to be considering raising funds that would value the company at $3 billion. That rumor was followed by reports that Yahoo was looking to woo Groupon for as much as $4 billion—the second reported attempt by Yahoo to buy the social shopping company. Earlier this year, All Things D reported that Yahoo and Groupon were in discussions about a possible acquisition for $1.7 billion, but Groupon ultimately rebuffed the low-balled offer and backed out of the deal.
Founded in 2008, Groupon’s revenues are said to be upward of $50 million a month, and an enormous round of fundraising in April raised Groupon’s valuation to $1 billion. With 20 million subscribers and footholds in 29 countries across Europe, North America, Latin America, and Asia, Groupon has inspired hundreds of clones, some of which have, in recent months, begun outpacing Groupon (think LivingSocial). Despite the dozens of rumors about acquisitions by Google, Yahoo, and eBay, Groupon has maintained that it wishes to stay independent.
While the tech world was anticipating a buyout by eBay, many were surprised when, in October, Groupon partnered with eBay to bring local deals to eBay shoppers, using geo-targeting to find offers for the user’s specific geographic location. Users who are members of the eBay Bucks Rewards Program who purchase a Groupon deal through eBay can earn 5% back in eBay Bucks.
VatorNews will follow this story and report on any further developments.
Support VatorNews by Donating
Read more from our "Trends and news" series
The company is now valued at $2 billionRead more...
The company has over 1,000 coaches for over 1,000 topics, who can be accessed 24/7Read more...