PayPal’s board of directors considers the $53 billion acquisition offer too low.

PayPal’s board of directors considers the $53 billion (valued at $60.50 per share) acquisition proposal jointly put forward by Stripe and private equity firm Advent International as undervaluing the company. The board has raised concerns over regulatory approval risks and financing certainty, and has not formally responded to the proposal. It believes that if management successfully executes its ongoing transformation strategy, PayPal’s future potential value will far exceed the current offer. Meanwhile, the bidders have secured approximately $50 billion in financing support from JPMorgan Chase and Morgan Stanley, with Stripe and Advent contributing a total of $17 billion in equity. It is understood that if the deal encounters antitrust obstacles, the parties may consider divesting assets including PayPal’s Braintree unit to Advent. Despite the differences, Stripe and Advent are still regarded as the most sincere potential buyers, and negotiations are expected to continue for some time. PayPal will release its quarterly earnings report on July 28, and the market will closely monitor the growth of its core checkout business.