PayPal’s Pinterest Pursuit Set to Tip 2021 Into Record M&A Year

(Bloomberg) -- PayPal Holdings Inc.’s pursuit of social media company Pinterest Inc. is poised to push 2021 over the line to become the busiest-ever year for mergers and acquisitions. 

PayPal has been discussing a roughly $45 billion purchase of Pinterest, Bloomberg News reported Wednesday. With global deal volumes currently sitting at $4.07 trillion so far this year, an agreement would bring the tally beyond 2007’s previous record of $4.11 trillion, data compiled by Bloomberg show.

The potential acquisition of Pinterest would unite PayPal, one of the biggest online payment providers, with a social media company that’s increasingly pushing into e-commerce. It’s already been a year of standout transactions, driven by ambitious executives seeking to take advantage of soaring stock valuations and cheap credit to fuel expansion. 

Many of this year’s biggest deals have reshaped industries, like AT&T Inc. and Discovery Inc.’s move to form a $130 billion entertainment giant and Canadian Pacific Railway Ltd.’s hard-fought $27 billion takeover of Kansas City Southern. Private equity firms have also gotten more aggressive, with several funds teaming up for the more than $30 billion leveraged buyout of hospital supply company Medline Industries Inc.

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