Daily-deals company LivingSocial.com is taking Groupon Inc.'s stock straight to the bank.
Yesterday Groupon closed its deal to buy TicketMonster, a South Korean deal site, from rival LivingSocial for $260 million in stock and cash. It paid LivingSocial $100 million in cash and $160 million in stock for the business. LivingSocial quickly announced its plans to sell all of its 13.8 million shares, worth about $166.6 million, according to a securities filing.
That's according to a regulatory filing from Groupon on Friday. The Chicago company said that it will not receive any proceeds from LivingSocial's stock offering. LivingSocial declined to comment on the stock sale.
That's already paying off for LivingSocial — the value of its shares rose $2.8 million as Groupon's stock climbed above $12 today.
But it's an even better deal for Groupon. Having your primary competitor as your 13th-largest shareholder is never a good thing.
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