eBay Inc. (Nasdaq: EBAY) today announced that it has issued the following letter to its shareholders. The company also said it has filed a definitive proxy statement with the Securities and Exchange Commission (“SEC”) with respect to eBay’s 2014 Annual Meeting of Stockholders, to be held on May 13, 2014.
“Our shareholders and our customers are best served by keeping PayPal and eBay together,” eBay’s Board of Directors said. “No other payments competitor has achieved PayPal’s success—because no other competitor has had a commerce platform like eBay.”
The company reiterated five key reasons why PayPal and eBay are better together:
- PayPal Grows Faster Because of eBay
- eBay Accelerates the Success of PayPal
- Data Sharing Leads to More Profitable Growth
- eBay Inc. Provides Efficient Capital for PayPal
- Commerce and Payments are Converging
The full text of the letter is below.
March 24, 2014
Dear Fellow Shareholder:
Our company is a global commerce and payments leader operating in a rapidly changing landscape. Technology is creating a commerce revolution. The distinctions between online and offline commerce are disappearing. Mobile commerce is shifting consumer behavior. And retailers and brands of all sizes are adapting and innovating to engage consumers who have unprecedented choice in how they shop and pay. Scalable, flexible, integrated digital payments and commerce platforms are competitive advantages in this dynamic environment. That’s why we believe eBay Inc. is well positioned to lead and innovate globally, drive long-term growth and deliver sustainable shareholder value.
eBay’s Board of Directors and management team are singularly focused on doing just that – driving growth and increasing the value of your eBay investment over the long-term.
At our 2014 annual meeting, you have important choices to make. Activist investor and eBay shareholder Carl Icahn has submitted a non-binding proposal to spin off PayPal into a separately traded public company. He also has nominated two of his employees for election to eBay's board.