Amazon.com and Sotheby's to launch upmarket auction site

Online bookseller Amazon.com has signed a 10-year deal with highbrow auctioneers Sotheby's to launch an online auction site for the antiques lover.

As part of the deal Amazon.com will take a $45 million, 1.7 per cent stake in Sotheby's Holdings, $10 million of which is for a three year warrant enabling Amazon.com to acquire an additional one million shares at $100 million each.

The joint site will be aimed at the general antiques collector and will feature coins, stamps, Hollywood memorabilia and toys as well as general art and antiques, books and jewellery.

The auction property will be offered by Sotheby's and a select network of dealers and other art world professionals.

Both Amazon.com and Sotheby's have their own online auction sites, with Sotheby's due to go live this September, but by joining forces the companies aim to encourage more expensive items to be bought this way by guaranteeing the authenticity and condition of all items sold.

Sotheby's own site will be run separately from the venture with Amazon.com focusing on more the more traditional fine art collectibles when it launches this Autumn. The 2,800 dealers who have signed up to sothebys.com will also be able to sell goods on the joint site.

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