Overview
- The Stripe and Advent team pulled back after weeks of talks when they chose not to raise their initial $60.50-per-share offer.
- The proposal valued PayPal at roughly $53 billion and represented about a 28% premium to recent trading levels.
- Banks coordinated about $50 billion of financing for the deal, with JPMorgan and Morgan Stanley reported as lead arrangers.
- PayPal’s board rejected the price because it said the offer did not reflect expected gains from Enrique Lores’s turnaround and planned cost cuts of at least $1.5 billion.
- The failed bid leaves a major consolidation idea in payments unresolved, could affect shareholders and employees, and would likely have faced heavy U.S. and EU antitrust review if revived.