Payment processing firm Stripe, alongside private equity partner Advent International, has reportedly halted all efforts to pursue an acquisition of PayPal, according to sources familiar with the matter.

The decision marks a definitive end to preliminary discussions that had surfaced in July, when the two firms tabled a bid valuing PayPal at roughly $53 billion. That offer translated to approximately $60.50 per share, a figure that reflected the market conditions at the time.

This proposed price stands in stark contrast to PayPal's historical valuation, which peaked at around $360 billion in 2021, underscoring how dramatically the company's fortunes have shifted over the past several years.

PayPal's newly appointed chief executive, Enrique Lores, who assumed the role in March, is now tasked with orchestrating a turnaround strategy. Lores has outlined plans to restructure the company into three distinct business units, with a clear focus on accelerating its checkout solution, growing the peer-to-peer payments platform Venmo, and expanding its payment and cryptocurrency initiatives.