VIEW EVENT INFORMATION: Groupon
Groupon Is Buying LivingSocial!
OCT
26
Status: Available Now!
Type: News
Date: Wednesday 26 October 2016, 02:28 AM
Media: Techcrunch

SOURCE
About the organization Groupon:
Type: Business
Sub-Types: Retailing Agent, Advertising Agent, E-Commerce, Online Deal, Store, Online Store, Application Software, Telecommunication, Telecommunication Software, Event Promotion, Entertainment Promotion
Notable Organizations: Groupon, Techcrunch
Some significant consolidation is going down in the world of daily deals — going down being the operative phrase here. Today, Groupon announced it would acquire LivingSocial, its onetime big rival that was partly owned by Amazon, for an undisclosed sum. Lest you think that this is a power move made by companies at their peak, think again: the news comes as a quiet sidenote in Groupon’s Q3 earnings results, which beat analysts expectations on revenue of $720.5 million and earnings per share of -$0.01, but showed a continuing net loss for the company, of $35.8 million for this last quarter. Groupon today also said it plans more downsizing of its overall business, on top of the several closures and layoffs of the last few quarters. In Q2 the company was operational in 27 markets; the plan will be to bring that down to 15. “We are pursuing strategic alternatives and other options to exit the remaining countries, which we expect will continue into 2017,” the company noted. The LivingSocial deal, which is expected to close in November 2016, is “not material” to Groupon’s earnings, meaning it is small enough that Groupon does not have to disclose the price. This is a whimper of an ending for LivingSocial, which once competed hard against Groupon for both merchants to list deals for their goods and services, and consumers to buy those offers.
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