Talks between payments technology company Stripe and private equity firm Advent International to acquire PayPal have intensified, raising the prospect of a major deal for the fintech company.

The Wall Street Journal reports that discussions between Stripe, Advent and PayPal have continued despite the company previously rejecting an offer of $60.50 per share that valued PayPal at about $53 billion.

Sources familiar with the matter said a deal could be reached in the coming weeks, although there is no guarantee that an agreement will be concluded.

PayPal declined to comment on the latest discussions, while Stripe said it does not comment on rumours or speculation.

The potential transaction comes as PayPal chief executive Enrique Lores works to revive the company’s performance after a period of slowing growth.

Lores joined PayPal in March after a long career at HP. He began restructuring the company in April, including changes to its executive leadership and a reorganisation of its operations into three areas.

The units cover checkout solutions and PayPal, consumer financial services including Venmo, and payment services and cryptocurrency.

Lores has also pledged to refocus PayPal on its core operations and strengthen its technology capabilities, including greater use of artificial intelligence.

The turnaround strategy includes a major cost-cutting programme that is expected to reduce PayPal’s workforce by about 20% over the next two to three years.

PayPal expanded rapidly during the COVID-19 pandemic as online shopping surged, but the company has struggled to maintain that momentum in recent years.

Founded in 1998, PayPal became one of the world’s leading digital payment platforms and was associated with several prominent Silicon Valley entrepreneurs, including Peter Thiel, Elon Musk, Max Levchin and Luke Nosek.

A successful acquisition by Stripe and Advent would represent a major change in ownership for the payments company as it attempts to restore growth and competitiveness.