PayPal and Pinterest Discontinue Talks
Last week PayPal announced it was in talks to buy social media platform Pinterest. One day later it was reported the payments giant’s stock price fell 5.9%. Shortly after, PayPal indicated it was not pursuing an acquisition of Pinterest due to shareholder objections.
The coming together of the two organizations made sense on paper: PayPal is known to have far-reaching financial aspirations and was looking to play a larger role earlier in the shoppers’ experience. Investors weren’t convinced that PayPal could make money off of the “pins” its 454 million monthly users make—activity that doesn’t necessarily translate to sales.