PayPal offered $ 70 per share. “The online payments provider hopes to successfully negotiate and announce a deal by the time it reports quarterly earnings on November 8,” added the sources who also explained that no deal was secure and that the terms could change.
PayPal’s offer represents a 26% premium over Pinterest’s closing price of $ 55.58 on Tuesday. PayPal shares fell more than 4% on the news, while Pinterest climbed more than 14% to $ 63.51.
The payments giant was among the big winners from the Covid-19 pandemic, as more people used its services to shop online and pay bills. Its shares are up about 36% in the past 12 months, giving it a market capitalization of nearly $ 320 billion.
Pinterest also saw a huge increase in users searching for crafts and DIY project ideas, when lockdowns kept people at home. But as closures ease, he warned of slowing user growth, especially in the United States, his biggest market. Pinterest was valued at about $ 13 billion when it went public in 2019.
News of the potential deal comes less than a week after Pinterest co-founder Evan Sharp announced his plans to leave the company to join LoveFrom, a company run by Jony Ive, responsible for the design of many iconic Apple products.
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