PayPal Adds 3 Directors Amid Elliott & Vista Partnership

Ticker: PYPL · Form: 8-K · Filed: 2024-03-28T00:00:00.000Z

Sentiment: neutral

Topics: board-changes, management, activist-investor

Related Tickers: PYPL

TL;DR

PayPal adds 3 new board members from Elliott & Vista, signaling a potential shake-up.

AI Summary

PayPal Holdings, Inc. announced on March 25, 2024, changes in its board of directors. The company elected three new directors: Mariam T. Al-Shaker, Jonathan D. Auerbach, and Jonathan M. Levin. These appointments are part of an agreement with Elliott Investment Management L.P. and Vista Equity Partners Management, LLC, who collectively own a significant stake in PayPal.

Why It Matters

The addition of directors nominated by major investment firms suggests a strategic shift or increased influence from these stakeholders on PayPal's future direction and performance.

Risk Assessment

Risk Level: medium — The involvement of activist investors like Elliott and Vista can lead to significant strategic changes, which may introduce uncertainty or volatility.

Key Numbers

Key Players & Entities

FAQ

Who are the newly elected directors to PayPal's board?

The newly elected directors are Mariam T. Al-Shaker, Jonathan D. Auerbach, and Jonathan M. Levin.

What is the date of the earliest event reported in this 8-K?

The earliest event reported is March 25, 2024.

Which investment firms were involved in the agreement leading to these board changes?

Elliott Investment Management L.P. and Vista Equity Partners Management, LLC were involved in the agreement.

What is PayPal's principal executive office address?

PayPal's principal executive office is located at 2211 North First Street, San Jose, CA 95131.

What is the filing date of this 8-K report?

This 8-K report was filed on March 28, 2024.

From the Filing

0001193125-24-080896.txt : 20240328 0001193125-24-080896.hdr.sgml : 20240328 20240328172559 ACCESSION NUMBER: 0001193125-24-080896 CONFORMED SUBMISSION TYPE: 8-K PUBLIC DOCUMENT COUNT: 14 CONFORMED PERIOD OF REPORT: 20240325 ITEM INFORMATION: Departure of Directors or Certain Officers; Election of Directors; Appointment of Certain Officers: Compensatory Arrangements of Certain Officers ITEM INFORMATION: Other Events ITEM INFORMATION: Financial Statements and Exhibits FILED AS OF DATE: 20240328 DATE AS OF CHANGE: 20240328 FILER: COMPANY DATA: COMPANY CONFORMED NAME: PayPal Holdings, Inc. CENTRAL INDEX KEY: 0001633917 STANDARD INDUSTRIAL CLASSIFICATION: SERVICES-BUSINESS SERVICES, NEC [7389] ORGANIZATION NAME: 07 Trade & Services IRS NUMBER: 472989869 FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: 8-K SEC ACT: 1934 Act SEC FILE NUMBER: 001-36859 FILM NUMBER: 24800597 BUSINESS ADDRESS: STREET 1: 2211 NORTH FIRST STREET CITY: SAN JOSE STATE: CA ZIP: 95131 BUSINESS PHONE: (408) 967-1000 MAIL ADDRESS: STREET 1: 2211 NORTH FIRST STREET CITY: SAN JOSE STATE: CA ZIP: 95131 8-K 1 d787879d8k.htm 8-K 8-K false 0001633917 0001633917 2024-03-25 2024-03-25     UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549     FORM 8-K     CURRENT REPORT Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 Date of Report (Date of earliest event reported): March 25, 2024     PayPal Holdings, Inc. (Exact name of registrant as specified in its charter)       Delaware   001-36859   47-2989869 (State or other jurisdiction of incorporation)   (Commission File Number)   (I.R.S. Employer Identification No.) 2211 North First Street San Jose , CA 95131 (Address of principal executive offices) (408) 967-1000 (Registrant’s telephone number, including area code) Not Applicable (Former name or former address, if changed since last report.)     Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below):   ☐ Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)   ☐ Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)   ☐ Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))   ☐ Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c)) Securities registered pursuant to Section 12(b) of the Act:   Title of each class   Trading Symbol(s)   Name of each exchange on which registered Common stock, $0.0001 par value per share   PYPL   NASDAQ Global Select Market Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter). Emerging growth company ☐ If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐       Item 5.02. Departure of Directors or Certain Officers; Election of Directors; Appointment of Certain Officers; Compensatory Arrangements of Certain Officers On March 25, 2024, Belinda Johnson informed PayPal Holdings, Inc. (“PayPal” or the “Company”) that she will not stand for re-election to PayPal’s Board of Directors (“Board”) when her current term expires at PayPal’s 2024 Annual Meeting of Stockholders (“2024 Annual Meeting”). Ms. Johnson’s decision was not a result of any disagreement

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