Stripe and private equity firm Advent International have proposed a $53 billion acquisition of PayPal Holdings (NASDAQ:PYPL), sending the stock surging roughly 16% and prediction market odds soaring.

The bid of $60.50 per share represents a 28% premium to Tuesday’s close and is reportedly backed by close to $50 billion in committed financing, according to Reuters.

An earlier approach in April went unanswered, with the buyers now pushing for an agreement by month-end.

For Stripe founders Patrick and John Collison, the deal would fuse the two halves of the payments ecosystem: their company’s dominance in merchant backend infrastructure and PayPal’s consumer-facing wallet, with its 439 million active accounts.

Michael Burry Says The Price Is Wrong

“The Big Short” investor Michael Burry, who has been building a PayPal position for months, called the bid “simply too low” on his Substack.

His argument is mechanical rather than sentimental: any successful takeover must bake in a substantial control premium on top of what he views as an already depressed valuation, not a modest bump to a beaten-down share price.

Burry said he is not selling his shares and pegged fair value between $75 and $115, with a best estimate near $100. Thomas Hayes of Great Hill Capital reportedly went further, arguing even an offer above $80 would undervalue the company.

Polymarket Traders Bet The Deal Gets Done

The Polymarket contract on whether Stripe will acquire PayPal in 2026 jumped 65 points to 77% following the report, having languished near 10% in early July.

The stock was trading around $55 shortly after the open, well below the $60.50 offer. The discount may reflect doubts about the deal closing, though a push above the bid price would signal traders expect a higher offer.

Payment rivals barely moved, with Visa Inc. (NYSE:V) and Mastercard Inc. (NYSE:MA) trading flat, suggesting investors view the tie-up as an isolated event rather than a threat to the card networks.

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