PayPal in $45 bln bid for Pinterest - sources

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PayPal Holdings Inc (PYPL.O) has offered to buy digital pinboard site Pinterest Inc (PINS.N) for $45 billion, people familiar with the matter said on Wednesday, a combination that could herald more tie-ups between financial technology and social media companies in e-ecommerce.
The PayPal logo is seen on a smartphone in front of the same logo displayed in this illustration taken September 8, 2021. REUTERS/Dado Ruvic/Illustration

Oct 20 (Reuters) -

The deal talks come as internet shoppers increasingly buy items they see on social media, often following "influencers" on platforms such as Instagram and TikTok. Buying Pinterest would allow PayPal to capture more of that e-commerce growth and diversify its income though advertising revenue.

PayPal has offered $70 per share, mostly in stock, for Pinterest, one of the sources said. The online payments provider hopes to successfully negotiate and announce a deal by the time it reports quarterly earnings on Nov. 8, the source added.

The sources cautioned that no deal was certain and terms could change. They asked not to be identified because the matter is confidential.

PayPal and Pinterest did not respond to requests for comment. Bloomberg News first reported on the PayPal-Pinterest talks on Wednesday.

PayPal's offer represents a 26% premium to Pinterest's closing price of $55.58 on Tuesday. PayPal's shares fell over 4% on the news, while Pinterest rose more than 14% to $63.51.

"(The) combination would be a significant positive for PayPal's ongoing monetization initiatives on both sides of its merchant and…
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