Japanese Internet services giant Rakuten is buying OverDrive, Inc. for $410 million in cash. Overdrive facilitates e-book and audiobook lending for more than 30,000 libraries in 40 countries. In 2012, Rakuten bought Kobo, the global retailer of e-reading devices and e-books that, in the U.S., sells through many independent bookstores. The acquisition of OverDrive is scheduled to close in April.
"Rakuten's vision of empowerment is perfectly aligned with OverDrive," said Steve Potash, founder and CEO of OverDrive. "Since 1986, our vision has been to advance digital publishing and content to connect readers with books and information. We're passionate about working with publishers, libraries, schools and retailers to make that happen, and we are very excited to join an innovative company that shares and supports our vision."
"OverDrive is a widely respected pioneer in digital content and the sharing economy," said Takahito Aiki, the head of Rakuten's global e-book business. "Long before even Kobo emerged onto the global stage, OverDrive had already seen the future and was working with publishers to digitize their content to share with the world, building one of the most comprehensive online digital marketplaces in the process. OverDrive's deep content library and relationships with publishers, libraries, schools, and retailers will allow Rakuten to extend our mission of empowerment to new market segments and accelerate the growth of our digital contents businesses."
