PayPal-Stripe-Advent M&A Carve-Out & Antitrust Architecture

1. Transaction Setup Structure & Price

Archetype Preset

PayPal Base Market Cap $68.5B

Takeover Premium +25.0%

Debt Financing Tranche (LBO) 45% Debt

Regulatory Remedies

Mandate Merchant Gateway Data Portability (Eases FTC scrutiny on Braintree) Open Venmo-to-Bank Interoperable API (Reduces EU/CFPB wallet concentration)

2. Asset Partition Matrix D3 Dynamic Flow

PayPal Division	Rev Share	EBITDA %	Implied Value	Assigned Acquirer

Consortium Balance: Stripe commitments $32.5B (38% revs) | Advent sponsor check $53.1B (62% revs).

3. Deal Scorecard Antitrust & Capital

Implied Enterprise Value

$85.6B

12.8x Pro-Forma EBITDA

Total Debt Package

$38.5B

Coverage: 2.8x

Merchant Gateway HHI (US/EU) MODERATE RISK

Pre: 1,820 Delta: +640 HHI Post: 2,460

Consumer Wallet Market HHI LOW RISK

Pre: 2,150 Delta: +0 HHI Post: 2,150

Regulatory Clearance Probability 78% Likely

Consortium partition successfully buffers regulatory challenge by separating Braintree enterprise volume from PayPal consumer wallet ecosystem. Merchant data portability remedy applied.