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PayPal's Board Considers $53 Billion Acquisition Offer Too Low

BlockBeats News, July 17th, the PayPal board believes that the $53 billion (at $60.50 per share) acquisition offer jointly made by Stripe and private equity firm Advent International undervalues the company and raises concerns about regulatory approval risks and financing certainty. The board has not yet officially responded to the proposal. The PayPal board believes that if the management successfully executes its current transformation strategy, the company's future potential value will far exceed the current offer.

Meanwhile, the acquirers have secured approximately $50 billion in financing support from JPMorgan Chase and Morgan Stanley, with Stripe and Advent jointly contributing $17 billion in equity. It is reported that if they encounter antitrust obstacles, the parties may consider divesting assets such as PayPal's Braintree to Advent. Despite the disagreements, Stripe and Advent are still seen as the most sincere potential buyers at present, and negotiations are expected to continue for some time. PayPal will release its quarterly earnings report on July 28th, and the market will closely monitor the growth of its core checkout business.

Sumber: BlockBeats

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