Square erases earlier losses the day after PayPal-iZettle merger announcement

  • The $2.2 billion merger between PayPal and iZettle will launch the U.S. company into hundreds of thousands of brick-and-mortar retailers around the world.
  • That's a threat to Square, which markets its high-tech registers to small businesses.

Payments firm Square's stock erased its earlier losses Friday, after slipping as much as 3 percent the day after news of a PayPal-iZettle tie-up.

Shares hit a low of $53 per share but recovered to $55.04 by the end of the day.

The $2.2 billion merger will launch U.S. fintech giant PayPal into hundreds of thousands of brick-and-mortar retailers around the world through iZettle's mobile card readers. That's a threat to Square, which markets its high-tech registers to small businesses.