PayPal (NASDAQ:PYPL) Holdings Inc is mulling a potential US$39bn acquisition of social media company Pinterest Inc (NYSE:PINS), according to reports.
The financial technology company recently approached Pinterest about a potential takeover, Bloomberg reported.
Pinterest’s shares surged 12% higher to close at $62.68 overnight, while PayPal (NASDAQ:PYPL)’s stock price fell 5% to $258.36.
Pinterest, which was founded in 2010, has built an active user base of over 454mln, which in its most recent quarterly results generated revenue growth of 125% to US$613mln and net income of US$69mln.
PayPal and its mobile payments service Venmo have been among the pandemic winners, processing record payments of US$936bn in the past year.
Last month, PayPal bought Japan's Paidy for US$2.7bn, to expand its buy-now-pay-later offerings.