PayPal Jumps 15% on $60.50-a-Share Bid From Stripe and Advent
Updated
Updated · TradingView · Jul 15
PayPal Jumps 15% on $60.50-a-Share Bid From Stripe and Advent
3 articles · Updated · TradingView · Jul 15
Summary
PayPal shares surged nearly 15% in overnight trading after Reuters reported a $60.50-per-share takeover offer from Stripe and Advent International, implying a valuation above $53 billion.
The bid carries about a 28% premium to PayPal's last close and is backed by roughly $50 billion in committed bank financing, with Stripe and Advent planning equal ownership.
Reuters said the buyers first approached PayPal in early April, submitted the current offer earlier this month and want an agreement by month-end, though PayPal has not responded and no deal is assured.
The proposal would keep PayPal intact rather than split it up, following this year's reorganization that separated Venmo from the rest of the business and fueled takeover speculation.
Retail traders were broadly bullish but many argued $60.50 undervalues the company; PayPal stock was still down more than 18% year to date before the report.