Azernews.Az

by Alimat Aliyeva

American payment company Stripe and private equity firm Advent International are reportedly considering a joint acquisition of PayPal in a deal valued at more than $53 billion. If completed, the merger would create the world's largest digital payments operator, with an annual payment volume of approximately $1.9 trillion, AzerNEWS reports.

According to sources, the companies submitted a preliminary proposal earlier in July to acquire PayPal on an equal ownership basis. The offer values PayPal shares at $60.50 each, representing a 28% premium over the company's most recent closing stock price.

Founded in the late 1990s, PayPal was one of the pioneers of the digital payments industry. However, in recent years the company has experienced slower growth and increasing competition from services such as Apple Pay, Google Pay, and other emerging fintech platforms. As a result, PayPal's market capitalization has fallen to around $36 billion, nearly ten times lower than its peak five years ago.

Despite these challenges, PayPal still serves more than 430 million active customer accounts worldwide. For Stripe, which has traditionally focused on merchants and online businesses, acquiring PayPal would provide direct access to a massive global consumer base while significantly strengthening its position in the digital payments market.

Industry analysts believe that, if finalized, the transaction could become one of the largest deals in fintech history. The combined company would be better positioned to compete with major technology firms, accelerate innovation in digital payments, and expand its range of financial services for both businesses and consumers.