Microsoft ‘made takeover approach’ for social media site Pinterest
Microsoft is said to have approached Pinterest over a potential deal to buy the $51bn (£27bn) social media platform.
The US tech giant held talks with Pinterest in recent months but negotiations are not currently active, the Financial Times reported, citing people briefed on the matter.
The approach comes at the height of a pandemic-induced tech boom that has driven up user numbers across social media platforms.
Pinterest said its monthly active users rose 37 per cent to 459m in the fourth quarter, capping off a record year in which it boosted user numbers by 100m.
The image sharing site has also seen its value rise sevenfold since the start of the pandemic, pushing it to a market capitalisation of just under $51bn.
Shares in Pinterest pushed more than seven per cent higher in after-hours trading.
The rising valuation would make a takeover Microsoft’s largest ever deal, though Pinterest has previously suggested it wanted to remain an independent company.
Microsoft has been eyeing up a move into social media as it looks for further uses for its Azure cloud computing business.
The tech behemoth last year neared an acquisition of Tiktok’s US business following pressure from Donald Trump’s administration, but its bid was derailed at the last minute by a rival offer from Oracle.
The company already owns professional networking site Linkedin as well as software developer hosting provider Github.
Microsoft and Pinterest have been contacted for comment.