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Square Denies Buyout Talks

by Jacob Kleinman | May 7, 2014

Square-Payment

Last month we saw multiple reports pop up claiming Square was considering possible buyout offers from Apple, Google and even eBay as the company began to run low on funding. Square was quick to deny the rumors then, and on Wednesday board member Roelof Botha shot down the possibility of a buyout again while speaking at TechCrunch Disrupt in New York.

According to Botha, who’s also a partner at venture capital fund Sequoia Capital, Square never considered a buyout or even met with any of its alleged suitors to discuss an acquisition. “There is a lot of misinformation about Square right now,” he said. “There were no discussions about a sale,” he noted, adding that he was shocked when the rumors first began to spread in April.

Botha also denied claims from The Wall Street Journal that Square is operating at a loss. “Square has great margins, and phenomenal operating leverage,” he said.

Despite Botha’s claims, we’re not entirely willing to write off the possibility of a Square acquisition. With Apple and Google both eyeing mobile payments, buying Square could be an easy way to transition into that market. Even if the company isn’t interested in accepting any buyout offers, it won’t be easy to turn down a multi-billion dollar offer from one of the world’s leading tech giants.

TechCrunch

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Jacob Kleinman

Jacob Kleinman has been working as a journalist online and in print since he arrived at Wesleyan University in 2007. After graduating, he took a...Jacob Kleinman has been working as a journalist online and in print since he arrived at Wesleyan University in 2007. After graduating, he took a...


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