Advent, Stripe Abandon $50 Billion Pursuit of PayPal
The blockbuster PayPal buyout could be off. Advent International and Stripe have reportedly walked away from their pursuit of the payments pioneer, ending months of speculation over a deal that would have ranked among the largest leveraged buyouts ever. PayPal shares tumbled as much as 16% in premarket trading Friday, a sharp reversal for a […] The post Advent, Stripe Abandon $50 Billion Pursuit…
Advent International and Stripe have reportedly abandoned their $50 billion pursuit of PayPal, ending months of speculation over a potential deal. According to Bloomberg, the consortium had offered more than $50 billion for the company, but has now decided to drop their bid. PayPal shares plummeted by up to 16% in premarket trading on Friday, a significant drop following weeks of speculation surrounding the potential acquisition.
Both companies declined to comment on the matter. Founded in the late 1990s, PayPal was once an early leader in digital payments, but has struggled to keep up with competitors like Apple and Google. After a stock slump, Stripe reportedly began considering a bid for PayPal in February. However, strong second-quarter earnings for PayPal have since lifted its market value to around $52.6 billion, with the company having a new CEO, Enrique Lores, in place since March.
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