Stripe and Advent Walk Away From $53 Billion PayPal Takeover Pursuit
- F.I. Editorial Team
- 12 minutes ago
- 1 min read
A potential blockbuster fintech acquisition appears to be off the table.
Stripe and private equity firm Advent International have ended their pursuit of PayPal, abandoning a proposed takeover valued at roughly $53 billion, according to reporting from Bloomberg that was subsequently confirmed by Axios.
The consortium had offered $60.50 per share for PayPal. By Thursday's close, however, PayPal shares were trading at $61.4, already above the proposed acquisition price. PayPal's board had previously considered the initial offer inadequate, according to Reuters.
Investors reacted sharply to news that the deal had fallen apart. PayPal shares dropped approximately 13% in premarket trading Friday, giving back some of the gains generated by takeover speculation. The company's stock had climbed nearly 30% since reports of the potential acquisition first surfaced.
The proposed transaction would have been particularly significant for fintech. Axios noted that a successful acquisition would have represented the largest fintech acquisition ever.
