Stripe and private equity firm Advent International made a joint offer to acquire PayPal for about $53 billion, valuing the payments giant at approximately $60.50 per share, a 28% premium over its July 14 closing price of $47.27 [1, 2, 3, 4]. The takeover bid is backed by roughly $50 billion in committed financing from banks. Under the proposal, Stripe and Advent would each hold an equal stake in the combined company [1, 2, 3].
PayPal's market capitalization peaked near $360 billion in 2021 but declined sharply to as low as about $36 billion in early 2026 amid slowing growth and rising competition. CEO Enrique Lores, appointed in March 2026, launched turnaround measures, including splitting operations into three units, management changes, and planned workforce cuts of around 20%, targeting cost savings of at least $1.5 billion over two to three years [1, 2, 3].
The combined annual payment volume processed by Stripe and PayPal reached $3.7 trillion, with PayPal handling $1.8 trillion and Stripe $1.9 trillion in 2025 [1, 2]. PayPal has about 440 million active accounts [2].
Following reports of the offer in early July, PayPal’s shares rose nearly 17% on July 15 [1, 3]. However, PayPal's board has yet to provide a formal response. Reports on July 16 indicated the board considers the bid undervalued and notes regulatory and financing challenges [5]. Investor Michael Burry publicly said the offer "isn't enough" to justify the deal [4]. William Blair analyst Andrew Jeffrey said, "We do not think PayPal’s new CEO will likely embrace what could be viewed as a low-ball offer" [1].
Stripe had explored acquiring PayPal earlier in 2026 and held preliminary discussions before submitting the current bid [2]. If completed, the deal would combine two leading payment platforms controlled equally by Stripe and Advent [1].
PayPal has not made a public statement addressing the offer as of now [1, 2, 3, 5]. Next steps will focus on PayPal’s board review and regulatory approvals required to complete the acquisition.
