eBay shares tumble as NYSE owner nixes deal plans after talking to investors
- eBay shares tumbled after the the New York Stock Exchange's owner, ICE, announced on Thursday that it would not pursue a deal with eBay.
- eBay and ICE shares reversed trajectories on the news, with both names paring the gains and losses, respectively, that their shares had seen since The Wall Street Journal initially reported that the NYSE was courting eBay.
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eBay shares tumbled after the New York Stock Exchange's owner said Thursday that it would not pursue a deal with the e-commerce firm.
The decision came after conversations with investors during the Intercontinental Exchange's earnings call, ICE said in a statement Thursday.
eBay shares tumbled as much as 7.92% in after-hours trading, recovering slightly to still trade near lows Friday morning in pre-market trading. ICE shares, which had tumbled when reports of its plans to make a deal with eBay first broke, bounced up 7.05%.
The Wall Street Journal reported Tuesday that the Intercontinental Exchange had recently bid to buy eBay, the latest in a number of such offers ICE made to the company. eBay shares shot up on that news, and the NYSE owner's shares fell.
After ICE's Thursday announcements, both shares reversed course, though neither stock completely erased the gains and losses they made this week: eBay traded about 4% above its Monday closing price, the last day before the reports, in Friday's early trading. ICE traded roughly 6% down in the pre-market against its Monday closing price.
