Stripe and Advent Submit $53 Billion Takeover Offer for PayPal

Payments company Stripe and private equity firm Advent International have made a joint offer to acquire PayPal Holdings in a deal valued at more than $53 billion, according to sources familiar with the matter.

The proposal offers PayPal shareholders $60.50 per share, representing a 28 percent premium over the company’s closing stock price on Tuesday.

The bid is supported by about $50 billion in committed financing from banks.

Sources said Stripe and Advent first approached PayPal in April and are looking to advance discussions in the coming weeks.

However, PayPal has yet to respond to the offer, and there is no certainty that a deal will be reached. All three companies declined to comment.

Under the proposal, Stripe and Advent would jointly own PayPal, each holding an equal stake in the business rather than breaking it up.

News of the offer pushed PayPal shares up more than 16 percent in premarket trading.

The potential acquisition would rank among the largest deals in the global payments industry, coming at a time when companies are pursuing mergers to expand their reach and strengthen their position in the rapidly evolving financial technology sector.

Stripe, one of the world’s most valuable privately held fintech firms, was valued at $159 billion earlier this year.

Meanwhile, PayPal reported first-quarter revenue of $8.35 billion, beating analysts’ expectations, while total payment volumes increased 8 percent year-on-year to about $464 billion.

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