Ebay rebuffs Icahn on Paypal

Kate McCann
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EBAY has made the case to keep PayPal as part of the parent brand, rather than spin it off into a separate company.

Activist investor Carl Icahn called for the company to allow PayPal to become its own entity, nominating two of his employees on the eBay board of directors to take the plan forward. Icahn is said to believe that PayPal would be able to expand much faster and achieve more if it was a separate entity. eBay reported positive results last night, with revenue up 13.5 per cent in the fourth quarter to $4.5bn.