Stripe and private equity firm Advent International have reportedly submitted a joint bid to acquire PayPal in a deal worth about $53.4 billion.
reuters The proposal was reportedly submitted earlier this month and is backed by approximately $50 billion in committed bank financing. Under the proposal, Stripe and Advent would jointly own PayPal, with each holding an equal stake.
This is not the first time that Stripe has been linked to a possible acquisition of the payments giant. First reports It was suggested in February that the company was exploring a possible acquisition and engaged in preliminary discussions, although no formal offer emerged at that time.
If completed, the acquisition would unite two of the biggest names in digital payments. paypal Serves approximately 440 million active accounts and handles approximately $1.8 trillion in payment volume by 2025. Meanwhile, businesses use Stripe to process $1.9 trillion In payment in the same period. Plus, Stripe’s valuation climbed $159 billion earlier this year.
PayPal has not yet responded publicly to this proposal.
The potential deal comes at an important time for PayPal. CEO Enrique Lores took over in March after a company profit alert. Since then, plans have been made to cut costs by at least $1.5 billion over the next two to three years as PayPal looks to return to strong growth. reports It has also suggested that the company intends to reduce its workforce by approximately 20%.
PayPal, Stripe and Advent International did not immediately respond to our requests for comment.
