LivingSocial has entered into a definitive agreement to sell its Korean-based Ticket Monster business to Groupon for $260 million in cash and stock. The deal is expected to close in the first half of 2014.
Tim O’Shaughnessy (CEO, LivingSocial): Since LivingSocial’s acquisition of TMON in 2011, both operations have evolved to meet their specific market needs. Today, TMON, while a great company, does not match our strategic direction, given that over half its business is goods oriented.
Per the terms of the agreement, Groupon will acquire the holding company that owns Ticket Monster, LivingSocial Korea. The agreement is for at least $100 million in cash, and up to $160 million in Groupon Class A common stock, with the final cash and stock allocation to be determined upon close.
The transaction is subject to regulatory and other customary closing conditions, including review by Korean antitrust authorities.
[Image courtesy: Ticket Monster]