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eBay agrees to split PayPal into separate company

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A sign is posted in front of the eBay headquarters on January 22, 2014 in San Jose, California

New York (AFP) - US online auction giant eBay Tuesday acceded to shareholders' demands for a split and agreed to make its highly profitable PayPal subsidiary into an independent company from next year.

Current eBay shareholders will receive stock in the future PayPal in proportion to their current holdings, the company said in a statement.

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