RealTime IT News

QXL.com Buys Into ibidlive

Online auctioneer QXL.com Thursday took a 50 per cent equity stake in ibidlive of the Netherlands.

QXL.com (QXLC) will invest £5.9 million ($9.44 million) in ibidlive, which specialises in developing software and systems for use in live auctions conducted on the Internet, TV or telephone.

"This investment will significantly expand our technology base and enable QXL.com to deliver Internet auctions via a new medium, namely television," said Jim Rose, CEO of QXL.com.

"With the convergence of technology, we are now well positioned to deliver auctions via the Internet, telephone and television. It also provides an excellent platform to continue our strategy of rapid expansion of our business and development of our brand across Europe."

In 1998, ibidlive had sales of nearly half a million pounds ($800,000), pre tax profits of £24,000 ($38,400) and net assets of £314,000 ($502,000).

"Online auctions continue to grow in popularity and increasingly as an entertainment medium," said Peter Farid Faisal, CEO of ibidlive.

"Since September 1998 over 20 auctions have been held using ibidlive technology. QXL's strong European presence and ibidlive technology is a winning combination."

The investment is expected to give QXL.com additional branding and distribution opportunities in Europe. Already a pan-European online auction community, QXL.com operates sites in Germany, France, Italy, Holland, and Norway, as well as in the UK.

QXL bought leading Norwegian auction site DinSide Auksjon from online publisher DinSide AS for #13.2 million ($21.4 million) in an all-stock deal. The site will be added to a new QXL.com version for Scandinavia.