Earlier this week, South African Internet company Naspers was looking to buy Citrus Pay for about Rs 1000-1200 crore and merge its operations with payment gateway PayU. Aakash Moondhra, CFO of PayU, said that "they can neither acknowledge nor deny our involvement in any merger, acquisition or divestiture activity" as indicated by the Economic Times. Meanwhile, Amrish Rau, managing director of Citrus Pay termed the report as speculation (although he did not mention whether the whole news report was speculation or whether the size of the deal was speculation). @amitTwitr Speculation .. :) — Amrish Rau (@amrishrau) August 8, 2016 Since we're in a speculative mood, here's why we think PayU is acquiring Citrus Pay: they want to take on PayPal. Here are a few reasons why they might be taking PayPal head on. - Both PayU and PayPal process payments globally: PayU is planning to increase the total value of transactions processed to $1 billion per month over the next year. For the quarter ended June 2016, PayPal's the total payment value (TPV) processed was $86 billion, up 28% year-on-year. PayPal is present in 202 countries and processes payments in 25 currencies, while PayU is present in 16 countries. However, apart from the US Dollar, PayPal has a huge exposure to the British Pound and the Euro. "In the second quarter, approximately 12% of our revenue was generated in the UK .... From a foreign currency standpoint, the euro and the pound are the two currencies where we have the most exposure," PayPal CFO John Rainey…
