Transaction · Vertical SaaS Payments · 2019

PayPal / Honey 2020

PayPal acquired Honey Science for $4.0B on November 20, 2019.

Target
Honey Science
Acquirer
PayPal
Deal value
$4.0B
Deal type
Cash
Announced
November 20, 2019
Sub-sector
Vertical SaaS Payments

Transaction overview

  • PayPal announced the acquisition of Honey Science on November 20, 2019 for $4.0B.
  • The transaction is structured as Cash.
  • The deal closed on January 6, 2020.

Strategic rationale

PayPal acquires shopping rewards and coupon browser extension to insert itself earlier in the consumer purchase funnel and broaden checkout influence.

Deal terms & multiples

Deal value
$4.0B
Target revenue
Not disclosed
Target EBITDA
Not disclosed
EV / Revenue
Not disclosed
EV / EBITDA
Not disclosed
Announcement
November 20, 2019
Close date
January 6, 2020
Acquirer
PayPal (Strategic)
Target HQ
United States
Deal type
Cash
Consideration structure
All cash; approximately $4 billion
Acquirer ticker
NASDAQ: PYPL

About Honey Science

Honey Science Corporation is a Los Angeles-based technology company whose flagship product is a browser extension that automatically finds and applies coupon codes at online checkout. The company expanded beyond that original tool into price-drop alerts and lowest-price comparisons across retailers. At the time of the acquisition close, Honey reported approximately 17 million monthly active users. Those users had collectively found more than $1 billion in savings in the preceding year.

HQ
United States
Key metric
~17 million monthly active users; $1B+ in savings found in the prior year

Frequently asked questions

How much did PayPal pay for Honey Science?

PayPal acquired Honey Science for $4.0B, announced on November 20, 2019.

When did PayPal announce the acquisition of Honey Science?

PayPal announced the acquisition of Honey Science on November 20, 2019.

What sub-sector is Honey Science in?

Honey Science is tracked in the Vertical SaaS Payments sub-sector.

Where is Honey Science headquartered?

Honey Science is headquartered in United States.

Sources