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Stripe and Advent have made a joint offer to acquire PayPal – sources

reuters.com

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Re: Stripe and Advent have made a joint offer to acquire PayPal – sources

#191

Post by edoceo »

root_axis wrote: post #183
edoceo wrote: post #177

Earlier quoted context omitted.

Stripe only accepts the ones where there is cross-over and relationships between high-level employees and investors. They restrict the ones that are smaller and independent. I think that Stripe will shut off paying customers BECAUSE I HAVE SEEN THEM DO IT. That is what first hand knowledge is. The thing that really doesn't make sense is that Stripe selectively applies their written terms of service and policies. Do y…

> I think that Stripe will shut off paying customers BECAUSE I HAVE SEEN THEM DO IT. That is what first hand knowledge is. You are overindexing on your anecdotal experience to draw conclusions that make no sense. Paypal earns roughly 6x the net revenue of Stripe while processing a similar volume of transactions. Paypal has obviously figured out how to service these businesses profitably, yet for some reason you think…

It's not billions. My assertion is they will throw away processing millions to ensure they can continue to process billions.

You'd ignore a pence to pick up a pound.

Re: Stripe and Advent have made a joint offer to acquire PayPal – sources

#192

Post by khurs »

Topology1 wrote: post #48

Do the processing fees really add up? Can't fathom that Stripe is big enough to buy PayPal, but maybe I'm just 10 years behind on this industry.

>Privately held Stripe is among the industry's most valuable companies. It was valued at $159 billion in a tender offer for employees and shareholders in February, a more than 70% jump from a similar share sale a year earlier.

Re: Stripe and Advent have made a joint offer to acquire PayPal – sources

#193

Post by whoopdedo »

naet wrote: post #130
pc86 wrote: post #87

Earlier quoted context omitted.

Do you have any evidence that you can just bribe your way past antitrust regulations (which are enforced by hundreds or maybe even thousands of attorneys across the political spectrum) or is this just how you feel because you don't like who is in the White House right now?

I was curious so to get a very rough ballpark figure. So I went to the Wikipedia List of largest mergers and acquisitions article ( https://en.wikipedia.org/wiki/List_of_largest_mergers_and_ac... ) Added up all the free market enterprise section completed deals where the purchaser was indicated as US based Obama era: 2009: 6, 2010: 1, 2011: 4, 2012: 1, 2013: 4, 2014: 5, 2015: 7, 2016: 6 Trump term 1: 2017: 4, 2018: 8…

Do you have data from 2000 to 2004? Not only covering an earlier Republican administration it also captures the last tech bubble.

Re: Stripe and Advent have made a joint offer to acquire PayPal – sources

#194

Post by khurs »

nailer wrote: post #76
Topology1 wrote: post #48

Do the processing fees really add up? Can't fathom that Stripe is big enough to buy PayPal, but maybe I'm just 10 years behind on this industry.

Yes. People are prepared to pay Stripe 1% of all their revenue, same way they're prepared to pay card companies 2%.

1.5% - 3.25% + 20p

https://stripe.com/gb/pricing

Re: Stripe and Advent have made a joint offer to acquire PayPal – sources

#195

Post by [deleted] »

kypro wrote: post #134

Extremely weak bid, no? PayPal was worth 5x this a few years ago... Even pre-pandemic it was worth far more. Hell, just a year ago it was valued at ~$80 share. $60.50 per share would value them at just 11x their current earnings. I get PayPal isn't exactly a growth company anymore, but I'm not sure I understand why shareholders would agree to this offer?

[deleted]

Re: Stripe and Advent have made a joint offer to acquire PayPal – sources

#196

Post by dabinat »

codexon wrote: post #121
dqv wrote: post #51

Earlier quoted context omitted.

Nah I thought I liked PayPal as a customer until I found out that they favor large merchants against the consumer. I had a problem with a product and the company was playing games with the warranty. I only had it for 3 months and it was already falling apart. I made a complaint with PP and it was auto denied. I will never use PP for a large purchase again.

I don't know about recently, but for many years paypal automatically sided with the customer. We had many customers that would buy a 1 month sub then chargeback the whole amount after using it heavily for a few days or right before renewal, with a nonsense reason like "item not as described" or "unauthorized charge". We lost every single case.

I also had this issue. PayPal said to gather more data like proof of use, IP addresses, etc, and I still lost every time. I even had a couple of people be surprised that their account stopped working after they did a chargeback…

Re: Stripe and Advent have made a joint offer to acquire PayPal – sources

#197

Post by Alupis »

mholm wrote: post #160
peterspath wrote: post #124

Earlier quoted context omitted.

Why would you keep any money on PayPal. It’s just a pass-through to your bank account, accepting payments without giving your bank details to strangers on the internet.

Once you start doing frequent business through PayPal, they begin 'holding' some of your money to form a buffer against chargebacks and fraud. This doesn't happen often at the consumer level, but dominates within the small business world.

This just isn't true.

PayPal isn't a bank. They're a processor. People run afoul when they keep large amounts in their processor account instead of doing free nightly sweeps. They also run into trouble when they do weird things - like new accounts receiving large funds from international sources, etc. PayPal (and all processors) are required to investigate those instances until you have an established relationship with them - and they'll temporarily hold the suspicious funds while that happens. Business accounts have predictable, established patterns.

99% of the horror stories you hear fall into one of these categories, or both: 1) New Account 2) Unusual Account Activity

PayPal processed millions in annual payments for my previous company, without any issues.

Re: Stripe and Advent have made a joint offer to acquire PayPal – sources

#198

Post by fnordpiglet »

molsongolden wrote: post #176
fnordpiglet wrote: post #154

What I find interesting about this isn’t acquiring the flow from PayPal but the fact that PayPal has a bank charter and stripe doesn’t (not a real one, all that Georgia bank stuff is shenanigans). Properly structured this gives stripe a lot of interesting opportunities that they’ve had to delegate to partners and that dilutes not just their margins in the fee stack but restricts the types of transactions and merchant…

There are much cheaper ways to acquire a bank charter though?

Not necessarily - the compliance side would open up stripe entirely unless they very carefully structured as a bank holding company. Stripe has been trying to gain a charter in Georgia for years and just got it last year. I think this taught them it would be easier to acquire one. Additionally PayPal has been a EU bank for 12 years and just recently got its US banking charter. A global bank is pretty compelling.

Re: Stripe and Advent have made a joint offer to acquire PayPal – sources

#199

Post by fnordpiglet »

dataflow wrote: post #157
fnordpiglet wrote: post #154

What I find interesting about this isn’t acquiring the flow from PayPal but the fact that PayPal has a bank charter and stripe doesn’t (not a real one, all that Georgia bank stuff is shenanigans). Properly structured this gives stripe a lot of interesting opportunities that they’ve had to delegate to partners and that dilutes not just their margins in the fee stack but restricts the types of transactions and merchant…

> but the fact that PayPal has a bank charter When did it get one?

2008 in the EU and last year in the US.

Re: Stripe and Advent have made a joint offer to acquire PayPal – sources

#200

Post by lotsofpulp »

Alupis wrote: post #197
mholm wrote: post #160

Earlier quoted context omitted.

Once you start doing frequent business through PayPal, they begin 'holding' some of your money to form a buffer against chargebacks and fraud. This doesn't happen often at the consumer level, but dominates within the small business world.

This just isn't true. PayPal isn't a bank. They're a processor. People run afoul when they keep large amounts in their processor account instead of doing free nightly sweeps. They also run into trouble when they do weird things - like new accounts receiving large funds from international sources, etc. PayPal (and all processors) are required to investigate those instances until you have an established relationship wi…

>People run a fowl when they keep large amounts in their processor account instead of doing free nightly sweeps.

Bird law in this country is not governed by reason.

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