The plan calls for the distribution of PayPal stock to eBay shareholders on 17 July 2015, with the financial unit starting to trade under the symbol PYPL on 20 July, 2015, newshour.com.bd reports. The plan, first announced in 2014, came after months of pressure from activist investor Carl Icahn, who had assailed eBay for poor management and claimed that keeping eBay tied with PayPal depressed the value of both units.
eBay acquired PayPal in 2002 for roughly USD 1.5 billion in shares, integrating the payment service that had already been used for online auctions. PayPal has expanded beyond a simple payment mechanism for eBay auctions. But Icahn and others have argued that PayPal need to change to compete better in the fast-moving online payments segment.
In 2014, PayPal processed USD 235 billion in payments and handled one billion mobile transactions. It had revenues of USD 8 billion and worked with 10 million merchants worldwide.
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