Daily Poll: A mutually beneficial relationship? PayPal (PayP...
Daily Poll: A mutually beneficial relationship? PayPal (PayPal) and Pinterest. payment system $PayPal(PYPL.US$Negotiations are underway to acquire a social media platform $Pinterest(PINS.US$. The deal, estimated at $40 billion, will allow Paypal access to Pinterest's social media network and further solidify it in e-commerce space. However, some investors and analysts were skeptical about this potential acquisition, which soon showed up in the share price. Shares of $PayPal(PYPL.US$It fell 5.9% to $15.15 to $243.21. Prior to that, Wednesday's decline was 4.9%. PayPal lost more than $30 billion in market capitalization. $Pinterest(PINS.US$It fell 2.1%. They had already jumped 13% on Wednesday. Pinterest has less track record in e-commerce. It earns most of its revenue from advertising rather than shopping. PayPal will have to spend resources to help Pinterest become a commerce platform, while also integrating it with PayPal's other assets. Similar motivations are $Block(SQ.US$A $29 billion deal $Afterpay Ltd.(AFTPF.US$. Square announced in August that it plans to buy the buy now pay later company. In that deal, Square's Cash App will integrate with Afterpay and launch more than 70 million to exchange items that app users may want to buy at Afterpay merchants for cash. This deal seems much more ideal than the former. But who knows? Perhaps PayPal's management saw some potential in this deal. Let's go get some popcorn and see what they do. Source: PayPal shares fall after Pinterest News negotiations
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