Stripe Wants to Buy PayPal for $53 Billion — Here’s What the Merger Would Mean
The merger would create one of the world’s largest global online payments company, processing $3.7 trillion a year.
Stripe wants to buy its biggest rival, PayPal, and the deal could reshape how the world pays online. Stripe and private equity firm jointly offered more than $53 billion for PayPal, a bid that would give Stripe direct access to hundreds of millions of consumers, .
Stripe has always focused on merchants, while PayPal brings more than 430 million consumer accounts to the table, including the Venmo network and a familiar checkout button. Those numbers would help Stripe build out its own digital wallet and stablecoin ambitions. For PayPal, the deal would come as a lifeline after a brutal few years: its market cap has fallen from a 2021 peak of $360 billion to as low as $36 billion this year.
Not everyone thinks Stripe’s $60.50-a-share offer is generous enough. “We do not think PayPal’s new CEO will likely embrace what could be viewed as a low-ball offer,” said William Blair analyst Andrew Jeffrey, predicting the price could climb as high as $70 a share.
Stripe wants to buy its biggest rival, PayPal, and the deal could reshape how the world pays online. Stripe and private equity firm jointly offered more than $53 billion for PayPal, a bid that would give Stripe direct access to hundreds of millions of consumers, .
Stripe has always focused on merchants, while PayPal brings more than 430 million consumer accounts to the table, including the Venmo network and a familiar checkout button. Those numbers would help Stripe build out its own digital wallet and stablecoin ambitions. For PayPal, the deal would come as a lifeline after a brutal few years: its market cap has fallen from a 2021 peak of $360 billion to as low as $36 billion this year.
Not everyone thinks Stripe’s $60.50-a-share offer is generous enough. “We do not think PayPal’s new CEO will likely embrace what could be viewed as a low-ball offer,” said William Blair analyst Andrew Jeffrey, predicting the price could climb as high as $70 a share.
