Payment processing company Stripe and private equity firm Advent International have jointly offered to acquire PayPal Holdings at $60.50 per share. The proposal, submitted earlier this month, values the payments giant at more than $53 billion and represents a premium of about 28 percent over its closing share price on Tuesday.
The bid is supported by roughly $50 billion in committed financing from banks. Representatives of Stripe and Advent made initial contact with PayPal in early April. Under the terms, the two parties would each hold a 50 percent stake in the combined entity following completion of the deal, rather than pursuing a breakup of PayPal's operations.
PayPal has yet to respond to the offer. The bidders are aiming to secure an agreement by the end of the month.
The bid is supported by roughly $50 billion in committed financing from banks. Representatives of Stripe and Advent made initial contact with PayPal in early April. Under the terms, the two parties would each hold a 50 percent stake in the combined entity following completion of the deal, rather than pursuing a breakup of PayPal's operations.
PayPal has yet to respond to the offer. The bidders are aiming to secure an agreement by the end of the month.