Square Plans to Acquire an Afterpay Company for $29 Billion!
Payment systems company Square will acquire Afterpay, another fintech company based in Australia, for $29 billion.
All payments in four installments will be made in stocks. The CEO of Square is Jack Dorsey, the founder, and CEO of Twitter.
Square, the founder of Twitter and Jack Dorsey's other company, is making a major acquisition.
Square put a record price on Afterpay, an Australian-based buy-first-pay app. The company will reportedly acquire Afterpay for $29 billion.
This amount will also be the largest purchase ever made in Australia. Square said it will pay $29 billion in installments of $7.25 billion. It was stated that Square will not pay cash to Afterpay as a result of the acquisition, and all the money will be covered by shares.
"Together we can better integrate payment and merchant ecosystems to deliver complex products and services," said Jack Dorsey, founder, and CEO of Square.
Afterpay has 16 million users and nearly 100,000 sellers. Among these vendors are major retail giants around the world.
Afterpay founders Anthony Eisen and Nick Molnar will acquire Square. Upon completion of the transactions, Square will assign an administrator to Afterpay.