Stripe and Advent Offer to Buy PayPal for Over $53 Billion
Payment company Stripe and private equity firm Advent International have jointly offered to acquire PayPal for $60.50 per share, valuing the company at more than $53 billion. The offer is backed by about $50 billion in committed bank financing.
Key Numbers
Payment company Stripe and private equity firm Advent International have jointly offered to acquire PayPal Holdings Inc (NASDAQ: PYPL) for $60.50 per share, valuing the company at more than $53 billion, according to two sources familiar with the matter.
Deal Details
| Item | Value |
|---|---|
| Proposed price per share | $60.50 |
| Total valuation | More than $53 billion |
| Premium to closing price | 28% |
| Committed financing | ~$50 billion from banks |
The offer, submitted earlier this month, is backed by approximately $50 billion in committed bank financing, the sources said.
Rationale
Stripe and Advent aim to leverage PayPal's vast user base and digital payment infrastructure, potentially creating a dominant player in the payments space.
Regulatory Challenges
The deal is expected to face intense antitrust scrutiny given the size and market impact of the parties involved.
Stock Impact
Neither PayPal nor Stripe have officially commented. PayPal's stock (PYPL) may experience volatility as negotiations develop.
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