EBay is spinning off its online payment service PayPal as a separate company.
The move, which has long been urged by some Wall Street analysts, was announced early Tuesday. It is expected to take place in the second half of 2015.
“This is the best path for delivering sustainable shareholder value,” said the company’s statement.
EBay also announced a new executive team for both companies, with current CEO John Donahoe and chief financial officer Bob Swan planning to leave the company after the split.
Devin Wenig, currently president of eBay Marketplaces, will become CEO of the new eBay. The company also announced the appointment of Dan Schulman, an executive of American Express, to be the president of the PayPal unit until the split, and to be CEO of the independent PayPal.
