Owner Of PayPal: PayPal Holdings, Inc. is a multinational American financial technology company that operates an online payment system supporting online money transfers as an electronic alternative to traditional paper methods like checks and money orders.
The system is available in the majority of countries. The business charges a fee to serve as a payment processor for numerous commercial users, including auction sites, online vendors, and others.
| Company Name | PayPal |
| Type | Public |
| Founders | Ken Howery Max Levchin Luke Nosek Yu Pan Peter Thiel |
| Founded | As Confinity: December 1998 As X.com: October 1999 As PayPal: March 2000 |
| Products | Credit cards, payment systems |
| Headquarters | San Jose, California, U.S. (corporate headquarters) La Vista, Nebraska, U.S. (operative center) |
PayPal Ownership: Owner Of PayPal
The company began as Confinity in 1998 and went public in 2002 through an initial public offering. Later that year, eBay made it a $1.5 billion, wholly-owned subsidiary. In 2015, eBay gave PayPal to its shareholders, and it regained its independence.
Peter Thiel was one of the founders of Confinity, which was later known as PayPal. The company merged with X.com, a major rival founded by Elon Musk, who is responsible for other well-known businesses like Tesla and SpaceX. As a result of this merger, PayPal was born.
eBay acquired PayPal in 2002 for $1.5 billion. In 2015, PayPal was spun off by eBay and listed as an independent entity. Today, PayPal owns brands like Braintree, Venmo, Xoom, and iZettle.
History of Ownership
In the beginning, PayPal was called Confinity and was founded by Max Levchin and Peter Thiel. They wanted to create a secure way to transfer money online. Initially, they planned to use a handheld gadget called a palm, but later, they made it work on the web and email too, and that’s how PayPal was born.
To attract users, they offered a $10 bonus for signing up and an extra $10 for each friend referred. This idea was a big hit, especially with eBay sellers who needed a way to complete transactions.
Meanwhile, another company called X.com, led by Elon Musk, was also offering a similar service and competing with PayPal. Eventually, both companies faced financial difficulties, and they decided to merge in 2000, with Musk becoming the CEO.
But there were clashes between the teams, and Peter Thiel left the company. Musk tried to change the name to X.com, but people didn’t like it. Max and his team rebelled and successfully removed Musk as CEO, with Peter stepping in as the interim CEO.
Who is the Owner of PayPal?
The majority of ownership lies with institutional shareholders, who hold over 70% of the company’s stock. This varied ownership distribution reflects the broad appeal and confidence in PayPal as a valuable investment.
PayPal Top Institutional Shareholders: Owner Of PayPal
| Stockholder | Stake | Shares | Value |
|---|---|---|---|
| The Vanguard Group, Inc. | 8.4% | 96 million | $6.8 billion |
| BlackRock Fund Advisors | 6.7% | 76.5 million | $5.4 billion |
| SSgA Funds Management, Inc. | 3.9% | 44.6 million | $3.14 billion |
| Comprehensive Financial Management | 2.76% | 31.5 million | $2,235.71 million |
| Geode Capital Management LLC | 1.83% | 20.9 million | $1.48 billion |
PayPal Top Individual Shareholders
PayPal insiders, such as employees and executives, own more than 6% of the shares.
Pierre M. Omidyar
Pierre M. Omidyar, a renowned philanthropist and technology entrepreneur, holds PayPal shares valued at approximately $5.30 billion. With a net worth of $9 billion, he ranks 220 among the wealthiest individuals globally.
Dan Schulman
Dan Schulman, the current President, and CEO of PayPal, is set to retire at the end of 2023. Despite a poor earnings report, he made a significant investment of around $395,351 by purchasing 26,065 PayPal shares in February 2023. Notably, Dan had never sold his PayPal shares since December 2021, and insider selling of PayPal shares has been absent since 2022, marking a notable trend.
Retail investors
Retail investors play a substantial role in the company, holding a significant stake of up to 20.64%. Their ownership in the company showcases the growing participation and influence of individual investors in the financial markets.
PayPal Company Details
The company is a multinational financial technology powerhouse that revolutionized online payments. It offers a wide range of services, making it easier for individuals and businesses to conduct secure and efficient electronic transactions globally. Learn more about PayPal’s innovative solutions and its widespread influence in the digital financial landscape.
Key People
| John Donahoe | Chairman |
| Dan Schulman | President and CEO |
What services PayPal provides?
PayPal is a special online tool that helps people do money stuff on the internet. It lets you send and receive money from other people or businesses. You can use it to pay for things you buy online or even donate money. And guess what? You don’t need a special account to use it!
With the PayPal app, which you can get on the internet or from the app stores, you can pay for things with just one touch. It’s like magic!
PayPal also has a thing called PayPal Credit, which is like a special credit card you can use to buy things from many different places. But you need to be careful and spend wisely!
In the past, they had something called Student Accounts, but they don’t do that anymore.
PayPal also made it easier for other apps to use their cool features. They even let you use cryptocurrencies like Bitcoin to shop online!
Right now, PayPal works in lots of places around the world, and many people use it to handle their money in 25 different currencies.
Subsidiaries
Here, we will explore the various subsidiaries that are part of the PayPal family. Each subsidiary may have unique offerings and contribute to the overall strength and diversity of PayPal’s services.
- Braintree
- Paydiant
- Honey
- Venmo
- PayPal Credit
- Xoom Corporation
- Zettle
- Tradera
Divisions
PayPal’s operations are organized into distinct divisions, each focusing on specific aspects of its business. We will explore these divisions, their functions, and how they contribute to PayPal’s overall success.
- PayPal Inc (PPI)
- PayPal Pte. Ltd (3PL)
- PayPal Payments Pte. Holdings (PPLUX)
- PayPal Payments Pte Limited (4PL)
PayPal Customer Care
PayPal provides its services to over 200+ countries. If you want to connect to PayPal customer service you have to log in with your account details. You’ll get the contact details based on your country.
Conclusion
In conclusion, the ownership history of PayPal reflects a remarkable journey of growth and independence. Starting as Confinity in 1998, the company evolved into a major player in the financial technology industry. eBay’s acquisition in 2002 and subsequent spin-off in 2015 marked pivotal moments in PayPal’s trajectory, granting it the autonomy to flourish as a leading online payment system.