Stripe, Advent Walk From $53 Billion PayPal Mega-Deal, Shares Plunge

- Stripe and Advent drop proposed $53 billion PayPal acquisition after the board rejects $60.50-per-share offer - PayPal stock sinks over 13% in premarket trading as merger hopes fade On August 28, 2026 (UTC), Axios reported that Stripe and Advent International scrapped their proposed $53 billion takeover bid for PayPal after the company’s board turned down their $60.50-per-share cash offer as too low. The bid represented a 28% premium to PayPal’s recent stock price but failed to generate a formal board response, and directors instead relied on their confidence in the company’s ongoing turnaround strategy. This stance defied market expectations that a deal would set a new record for fintech M&A. On the same day, Reuters confirmed that PayPal’s board declined to engage with Stripe and Advent, as directors deemed the offer inadequate in light of a restructuring plan and cost-cutting drive. As a result, the announcement triggered an immediate sell-off, and PayPal shares tumbled over 13% in premarket trading, erasing gains that had been sparked by takeover rumors earlier in the quarter. Had it moved forward, the Stripe-Advent deal would have been the largest fintech acquisition on record, and it would have combined merchant services, PayPal’s Venmo wallet, international payments, and stablecoin offerings under one roof. Instead, Stripe pivoted to acquire AI marketplace OpenRouter in a separate $8 billion deal. Meanwhile, PayPal’s turnaround, led by CEO Enrique Lores since March 2026, splits the company into three divisions—checkout, consumer (including Venmo), and payments/crypto—and the plan trims headcount by 20% to save $1.5 billion. The board reaffirmed commitment to this plan amid persistent headwinds from slower growth and stiffening competition from players like Apple Pay and Google Pay. As of 15:09:01 (UTC) on August 28, 2026, PayPal USD (PYUSD) trades at $1.00, down 0.003% in the past 24 hours.