A consortium led by payments platform Stripe and private equity giant Advent International has made a takeover bid for PayPal worth more than US$53 billion, in what could become one of the largest acquisitions in the history of the global fintech sector.

The unsolicited proposal was said to be made earlier this month and values PayPal at US$60.50 per share. Reports of the offer sent PayPal shares soaring, with the stock jumping as much as 17% in early trading.

According to reports, Stripe and Advent would each hold a 50 per cent stake in PayPal if the transaction proceeds. The offer is backed by approximately US$50 billion in committed financing from major banks.

The deal would combine two of the world’s largest digital payments businesses, marrying Stripe’s dominance in merchant payment processing with PayPal’s extensive consumer network, which includes more than 430 million active accounts as well as the Venmo peer-to-peer payments platform. Analysts say the combined group would process an estimated US$3.7 trillion in annual payment volume.

For Stripe, the acquisition would expand its consumer payments footprint while strengthening its position against rivals like Apple Pay and Google Pay. While the company has traditionally focused on enterprise merchants, PayPal has focused on building one of the largest global consumer digital wallet ecosystems.

Multiple reports, however, indicate PayPal directors believe the offer undervalues the company’s long-term prospects, particularly as management is said to be pursuing a turnaround strategy under new CEO Enrique Lores. The board is also reportedly weighing financing certainty and potential regulatory hurdles before responding.

PayPal has been restructuring its business after years of slowing growth and increasing digital payments competition. The company recently announced plans to restructure into three operating divisions, increase investment in AI services and target US$1.5 billion in cost reductions and a 20% workforce reduction over the coming years.

Neither Stripe, Advent nor PayPal has publicly commented on the reported proposal. Analysts expect further developments could emerge ahead of PayPal’s upcoming quarterly earnings announcement later this month. There is also speculation that rival bidders or an improved offer could yet occur.