One of the most popular payment services globally PayPal has announced that the company is going to spend at least $3 billion per year on Mergers and Acquisitions in order to stay competitive in the fintech market.
Dan Schulman, President, and CEO of PayPal Holdings Inc attended Viva Technology Conference in Paris, France last year June 2017 to match special report on Bitcoin exchanges/risks as well, the company is more focused on upcoming finance technology and the future of payment processing companies like PayPal.
The company PayPal is further looking aggressively now for acquisitions after its successful acquisition of iZettle, a Swedish Fintech startup, it was a biggest ever deal made by PayPal valued at $2.2 billion.
PayPal is not going to stop there, it will actively look for opportunities to acquire more startups in Fintech category, “We have a very positive balance sheet and we are ready to put it to work to buy more companies.” Said President and CEO Dan Schulman in an interview to German Newspaper, reported by Reuters.
CEO further said, “PayPal is planning to invest as much as $3 billion per year in order to acquire more companies; we will focus on acquiring companies with specific capabilities.”
“I wouldn’t rule out that we take on a bigger deal if it is a good fit for us”, he added. PayPal separated itself from the popular online marketplace eBay in 2015, since then, PayPal has shifted from just processing online transactions to a company that offers a suite of digital payment services.
PayPal has seen down times in recent years as well, one blow was inflicted when eBay announced its new payment partner at the beginning of this year, PayPal suffered a decline in share price, but PayPal’s efforts for Global seller program, its debit/credit ATM card offerings and PayPal business offerings were enough to hold it.
PayPal is still a very much popular and preferred payment method for B2B and B2C transactions especially digital payments, E-commerce, and E-services.