Description

Stripe and Advent have proposed a $50+ billion take-private acquisition of PayPal. It's a mega deal that doesn't fit neatly into any traditional M&A category. Stripe is the private payments giant. Advent is one of the largest global PE firms. PayPal is a public payments company with $33 billion in revenue, and the combined transaction is arguably too big for a traditional buyout, which is exactly what makes it interesting. In this episode, Debs and Graham dig into what makes this deal different, then put Anthropic's newest model, Fable 5, to the test on building an LBO model for the transaction.

Learning Objectives

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1. Recall what's been proposed and where it stands with the Stripe/Advent/PayPal deal.
2. Assess why this isn't a traditional LBO, partnering with a private company as buyer.
3. Recall the platform-play thesis, private equity's mega-deal strategy in 2026.
4. Determine what the standalone LBO framing doesn't capture about the real deal.