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Bankers who represent the company have aggressively been reaching out to several unnamed public companies in June, according to a Recode report.
Here's why they are trying to sell and who may buy…
What We Know About Groupon's Potential Sale
Founder and prior CEO Andrew Mason came up with the idea for Groupon after he ran into roadblocks trying to cancel a cell phone contract.
He believed that there should be a platform that leverages the collective buying power of the public.
By 2010, Groupon was active in 250 cities across the globe and claimed 35 million registered users. As of Q1, it had 49.6 million users.
But year-over-year revenue declined 7% in Q1 to $625.6 million thanks to the increase in online retailers offering deals and discounts.
However, the user base could be a valuable addition for an e-commerce site. Groupon also has an impressive list of partners, which includes Jiffy Lube and Sam's Club.
Must See: This method may be the only way in history to turn a small sum of money into $100,000 without batting an eye. Read more…
On top of that, Groupon only has $230 million in debt with $725 million in the bank. If GRPN paid back its debt tomorrow, it would still have $495 million in cash.
That makes it an attractive acquisition target.
And one of these three companies could acquire the $2 billion firm…