E-Mart buys eBay's South Korean business for $3bn

It is expected that the transaction will be completed by the end of the year or early in 2022 as it is still subject to regulatory approvals.

The acquisition will help the South Korean business compete with local e-commerce rivals such as Coupang.

For its part, eBay Korea now has a powerful backer after years of underperformance, Reuters reported.

eBay Korea operates e-commerce platforms Gmarket, Auction and G9, and is the country's third-largest e-commerce firm with a market share of about 12.8% in 2020, according to reports.

The announcement follows the decision taken by Naver Corp, operator of South Korea's dominant search portal, the day before, to pull out of the race to acquire eBay's South Korean business.