The proposal, worth $60.50 per share, is still under review. However, PayPal has not formally responded to the offer, while its board assesses whether the bid is in the best interests of shareholders.

Directors are looking beyond the price, considering how the deal would be financed, how long it could take to complete and whether regulators would approve it. The board is also weighing the possibility that other bidders could emerge.

The offer represents about a 28% premium to PayPal’s recent share price. Even so, the board believes the company could be worth more if its turnaround plan delivers the expected results.

PayPal shares rose about 2% on Thursday to $56.73.

Stripe and Advent have lined up about $50 billion in debt financing from JPMorgan and Morgan Stanley, while both firms would contribute a combined $17 billion in equity. Under the proposal, they would own PayPal equally instead of splitting up the business.

PayPal, Stripe, Advent, JPMorgan and Morgan Stanley all declined to comment.

The discussions come as PayPal works to strengthen its business after several difficult years. Once valued at about $360 billion in 2021, the payments company has lost much of its market value as competition from Apple Pay, Google Pay and newer fintech firms intensified. Its market capitalisation now stands at about $36 billion.

Since taking over as chief executive in March 2026, Enrique Lores has reorganised the company into three business units: Checkout, Venmo and Consumer Financial Services, and Payments and Crypto. He is also pursuing $1.5 billion in cost savings through AI-driven efficiencies.

The company’s latest results showed some improvement. First-quarter revenue increased 7% year-on-year to $8.35 billion, while total payment volume rose eight per cent to $464 billion.

If completed, the transaction would combine two of the biggest names in online payments. Together, Stripe and PayPal would process about $3.7 trillion in annual payment volume, creating one of the world’s largest digital payments companies.

Still, the proposed deal is likely to face close regulatory review because of the companies’ strong positions in online merchant payments.

To address potential antitrust concerns, the bidders have discussed possible options, including separating PayPal’s Braintree business or other assets and transferring them to Advent if required.

People familiar with the talks said Stripe and Advent are still interested in reaching an agreement despite PayPal’s reservations about the current offer. Even so, negotiations are expected to take time.

Before submitting their latest proposal, Stripe and Advent had approached PayPal alongside Block in April. However, Block later withdrew from the group before the current bid was made. The company did not immediately respond to a request for comment.

Investors are now expected to watch PayPal’s earnings report on July 28 for further signs that growth in its core checkout business is improving as the company continues its turnaround efforts.

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