Particle.news
Download on the App Store

Stripe Reported to Explore PayPal Deal as PayPal Consults Banks

Talks are preliminary with no certainty of a transaction.

Overview

  • Bloomberg reports Stripe is among potential bidders considering a full acquisition, while other parties are evaluating purchases of specific assets.
  • PayPal’s shares jumped on the speculation, gaining roughly 6–10% on the headlines and about 14% over the week from recent lows near $41.
  • PayPal has opened discussions with banks to review strategic options after a prolonged stock slide from above $78 and slowing growth.
  • Competition from Apple Pay and Google Pay and slower payment volumes have weighed on performance, even as PayPal retains major assets such as Venmo and roughly $2 trillion in annual transaction volume.
  • Chair Enrique Lores is set to become CEO in early March, and analysts say any large deal would likely face rigorous antitrust scrutiny.