PayPal Attracts Takeover Interest After Stock Slump

Source: Slashdot

Takeover Interest

An anonymous reader shares a report: PayPal, the digital payments pioneer, is attracting takeover interest (Bloomberg) from potential buyers after a stock slide wiped out almost half of its value, according to people familiar with the matter.

The San Jose, California‑based company has fielded meetings with banks amid unsolicited interest from suitors. At least one large rival is looking at the whole company, while some other suitors are only interested in certain PayPal assets, the sources said, asking not to be identified because the information is private.

Buyer interest in PayPal is still at a preliminary stage and may not lead to a transaction, the people cautioned. Founded in the late 1990s, PayPal was an early mover in the world of digital payments. However, the company now finds itself in a rut as customers increasingly turn to alternative ways to pay for things.

• PayPal’s shares have fallen around 46 % in New York trading over the last 12 months.
• This decline leaves the company with a market value of about $38.4 billion.