eBay, the online auction site has announced that the sale of Skype, the online telephony service, has been completed. Skype, valued by ebay at $2.75 billion, was sold to a group of investors lead by Silver Lake Partners which also includes Joltid (founded by the original Skype founders), the Canada Pension Plan Investment Board and venture capital firm Andreessen Horowitz.
According to earlier reports, eBay had received approximately $1.9 billion in cash while eBay was said to have retained 30 per cent equity investment in Skype.
The announcement of completion of the sale comes two weeks after the settlement of the legal battle between ebay and Skpe’s original founders Niklas Zennström and Janus Friis in which they got 14% stake and board seats.
Silver Lake Managing Director Egon Durban said that the company is pleased with the completion of the sale and was glad that the litigation had been resolved. He also added that the company was looking to work with the investors to realize the full potential of Skype.
It is important to note that Ebay had bought Skype in the year 2005 for $2.6 billion although it had to soon write down it value to just $1.6 billion.