Ripple Labs made a takeover offer for Circle Internet Financial valued between US$4 billion and US$5 billion, but the bid was rejected for undervaluing the stablecoin issuer, according to Bloomberg, citing people familiar with the matter.
The sources, who requested anonymity due to the confidential nature of the discussions, said Ripple has not ruled out submitting a new proposal but has yet to make a decision.
Circle, meanwhile, is focused on moving ahead with a public listing, having filed for an initial public offering earlier this month.
A spokesperson for Circle said the company does not comment on market speculation and, due to the regulatory quiet period associated with its IPO filing, could not share further details.
The company added that its long-term goals remain unchanged. Ripple also declined to comment.
The proposal comes as crypto dealmaking gains momentum, with rising digital asset prices prompting firms to explore strategic transactions and IPOs.
In addition to Circle, companies such as BitGo, Gemini, and Bullish Global are reportedly considering public listings as early as this year, Bloomberg previously reported.
Circle is the issuer of USDC, one of the most widely used stablecoins globally, with a market capitalization of around US$61.7 billion, according to CoinMarketCap.
These tokens, typically pegged to the US dollar, are commonly used to transfer funds across exchanges and are seeing increasing adoption in broader financial applications.
Ripple entered the stablecoin sector in December with the launch of RLUSD, which currently holds a market value of approximately US$316.9 million.
The company has also been expanding through acquisitions, including a US$1.25 billion agreement to acquire prime brokerage platform Hidden Road in April.
Featured image credit: Edited from Glassdoor
