Square CEO Jack Dorsey denied a report from Bank Innovation’s Ian Kar that said PayPal’s new CEO is in talks to buy the mobile payments startup.
Kar’s sources said that PayPal’s new CEO Dan Schulman is exploring potential acquisitions in light of PayPal’s imminent spin-off from eBay, and that the talks with Square are “intense” but still in the early stages.
Dorsey linked to the article on Twitter along with the word “FALSE.”
Keith Rabois, one of PayPal’s cofounders, also denied the report on Twitter:
Square is currently valued at $US6 billion after raising $US150 million earlier this month. Kar’s sources said that if a deal was reached, it would likely close before PayPal’s spinoff.
Before getting recruited for PayPal, Schulman was an executive at American Express, where he reportedly spoke openly about how acquisitions can breathe new life into a company. PayPal, which also owns Braintree, the company that powers the popular peer-to-peer payments app Venmo, was recently snubbed by Apple, which chose to partner with Stripe for the launch of Apple Pay.