Overview
- In mid-July a consortium led by Stripe and private equity firm Advent International submitted an unsolicited all-cash offer of $60.50 per share for PayPal, valuing the company at about $53 billion.
- PayPal’s board has privately concluded the proposal undervalues the company and has not formally accepted the bid while it continues internal deliberations.
- The consortium has assembled roughly $50 billion of bank financing from firms including JPMorgan and Morgan Stanley and will supply about $17 billion in equity between Stripe and Advent.
- Regulators in the U.S. and EU are expected to scrutinize a combined Stripe‑PayPal because the merged group would control a large share of e-commerce payments, and officials have discussed structural fixes such as carving out Braintree.
- A near-term catalyst is PayPal’s second-quarter earnings report on July 28, which market participants say could force bidders to raise their price or strengthen the board’s case for rejecting the offer; PayPal’s long decline from its 2021 peak and its ongoing turnaround provide the deal context.