Updated
Updated · The New York Times · Jul 15
Stripe, Advent Offer $53 Billion for PayPal as 28% Premium Pressures Board
Updated
Updated · The New York Times · Jul 15

Stripe, Advent Offer $53 Billion for PayPal as 28% Premium Pressures Board

3 articles · Updated · The New York Times · Jul 15

Summary

  • $53 billion is on the table for PayPal, with Stripe and Advent offering about $60.50 a share and the company yet to formally respond.
  • $50 billion in committed bank financing underpins the bid, which could still be reviewed, rejected, or raised as PayPal's advisers assess it.
  • PayPal has been under pressure as growth in its higher-margin branded consumer business slowed and its stock fell 24% over the past year.
  • Stripe would gain a bigger consumer foothold through PayPal's wallet business, especially Venmo, extending beyond its core merchant payment-processing franchise.
  • A deal would reshape fintech competition as PayPal faces newer rivals such as Apple Pay and could still draw competing bidders.

Insights

Is Stripe's $53 billion offer a brilliant rescue or a risky bet on a failing giant?
With both giants pushing stablecoins, will this deal kill traditional cross-border payments?