TechBookyBusiness
No Result
View All Result
Tuesday, July 5, 2022
  • Login
  • Home
  • TechBooky
  • Africa
  • TV
  • Startup
  • Earnings
  • Crypto Price
  • Submit Article
  • Contact Us
  • About Us
Subscribe
TechBooky Business
No Result
View All Result
Home Acquisition

Square To Buy Australian Buy-now-pay-later Firm Afterpay For $29 billion

Ibhadojemu Lucky Emmanuel by Ibhadojemu Lucky Emmanuel
August 2, 2021
in Acquisition, Startup
Share on FacebookShare on Twitter

US-based financial services and digital payments company Square Inc. has revealed plans to buy Australian financial services firm Afterpay for $29 billion.

The purchase will create an international transactions giant in the biggest buyout of an Australian firm, as Square aims to expand further into the booming installment loan market.

Jack Dorsey’s payments company announced the $29 billion, all-stock deal on Sunday evening. “Square and Afterpay have a shared purpose. We built our business to make the financial system more fair, accessible, and inclusive, and Afterpay has built a trusted brand aligned with those principles,” Square CEO and Twitter co-founder Dorsey said.

Square already offers installment loans, which it said has been a powerful growth tool for Square’s core seller business. The San Francisco-based payments company plans to integrate Afterpay into both its seller and Cash App ecosystems.

According to corporate regulator Australian Securities and Investments Commission (ASIC), Afterpay is Australia’s largest buy-now-pay-later service, with 73% of the total market by dollar value. Founded in 2014, Afterpay has been at the forefront of the buy-now-pay-later sector whose popularity burgeoned during the pandemic, as more people chose to pay in installments for everyday items. Buy-now-pay-later firms lend shoppers instant funds,  which can be paid in installments with no interest.

The rapid growth in the sector has moved other companies like PayPal to launch similar services.

“Acquiring Afterpay is a ‘proof of concept’ moment for buy now, pay later, at once validating the industry and creating a formidable new competitor for Affirm Holdings Inc, PayPal Holdings Inc, and Klarna Inc,” Trust Securities analysts said.

The purchase also locks in a remarkable share-price run for Afterpay, whose stock traded below A$10 in early 2020 and has since soared as the COVID-19 pandemic caused a rapid shift in consumer behavior to online shopping.

“We built our business to make the financial system more fair, accessible, and inclusive, and Afterpay has built a trusted brand aligned with those principles,” said Dorsey in the statement. To integrate the Australian firm and accelerate organic revenue growth, Square is expected to invest heavily in Afterpay. Together with Afterpay, Square plans to deliver even more compelling products and services for merchants and consumers, putting the power back in the hands of the consumers and merchants.

For Afterpay, the deal marked “an important recognition of the Australian technology sector as homegrown innovation continues to be shared more broadly throughout the world”. The deal also delivers to Afterpay a large customer base in its main target market, the United States, where its fiscal 2021 sales nearly tripled to A$11.1 billion in constant currency terms.

Square said it will undertake a secondary listing on the Australian Securities Exchange to allow Afterpay shareholders to trade in shares via CHESS depositary interests (CDIs).

The purchase is subject to approval by The Australian Competition and Consumer Commission, which said it had just been notified of the transaction and “will consider it carefully” immediately the details get placed before them.

Total
0
Shares
Share 0
Tweet 0
Pin it 0
Share 0

Related Posts:

  • Square's Shareholders Consent To $29 Billion Buyout Of Buy Now, Pay Later Firm, Afterpay
    Square's Shareholders Consent To $29 Billion Buyout Of Buy…
  • PayPal Cancels Late Fees For Buy Now, Pay Later Purchases
    PayPal Cancels Late Fees For Buy Now, Pay Later Purchases
  • PayPal To Buy Japanese Buy-Now-Pay-Later Firm Paidy For $2.7 Billion
    PayPal To Buy Japanese Buy-Now-Pay-Later Firm Paidy For $2.7…
  • Shares Of Block, Formerly Square, Soars 10 Percent After Reporting Its First Quarter Earnings Result
    Shares Of Block, Formerly Square, Soars 10 Percent After…
  • Square, Founded By Jack Dorsey, Will Be Known As Block Starting Dec 10
    Square, Founded By Jack Dorsey, Will Be Known As Block…
  • H&R Block Sues Over Square’s New Corporate Name ‘Block’
    H&R Block Sues Over Square’s New Corporate Name ‘Block’
  • PayPal Launches a Buy-now-pay-later Service With No Late Fee in Australia To Take On Rival Afterpay
    PayPal Launches a Buy-now-pay-later Service With No Late Fee…
  • Jack Dorsey's Square To Launch New Bitcoin-focused Business
    Jack Dorsey's Square To Launch New Bitcoin-focused Business
Tags: AcquisitionAfterpayaustraliafintechsquare
Previous Post

Nigeria’s Kuda Raises $55m In Series B Round, Valued At $500m

Next Post

It’s Totally Possible That Ethereum Could Soon Hit $5,500, Here’s Why

Next Post
It’s Totally Possible That Ethereum Could Soon Hit $5,500, Here’s Why

It's Totally Possible That Ethereum Could Soon Hit $5,500, Here's Why

No Result
View All Result

Get top tech business news in your inbox

subscription from
Loading

Crypto Price List

  • USD
  • EUR
  • GPB
  • AUD
  • JPY
  • TadpoleTadpole(TAD)
    $7.32-1.74%
  • SEENSEEN(SEEN)
    $2.05-2.27%
  • EvedoEvedo(EVED)
    $0.082301-0.80%
  • MarginswapMarginswap(MFI)
    $0.184213-2.11%
  • SakeTokenSakeToken(SAKE)
    $0.0127135.28%
  • WTF TokenWTF Token(WTF)
    $0.0113500.17%
  • BNSD FinanceBNSD Finance(BNSD)
    $0.005461-5.83%
  • RobotinaRobotina(ROX)
    $0.00266138.50%
  • CageCage(C4G3)
    $0.005010-3.67%
  • YAM v2YAM v2(YAMV2)
    $4.70-1.41%

Recent Posts

  • Financial Inclusion In Nigeria Grew To 45 Percent In 2021 – World Bank
  • Meta Is Shutting Its Novi Digital Wallet By September 1st
  • Crypto Is The Answer To Financial Inclusion, Central African Republic’s President Says Amid Huge Aversion For Its Adoption Of Bitcoin
  • Popular Bitcoin Family Reveals They’ve Had Bitcoin Losses Of Up To $1 Million This Year
  • June Was Bitcoin’s Worst Month On Record After The Flagship Crypto Lost 40 Percent Of Its Value

Categories

  • Acquisition
  • Acquisition & Merger
  • App
  • Banking
  • Capital
  • Cryptocurrency
  • Earnings
  • Ecommerce
  • Economy
  • Enterprise
  • Event
  • Funding
  • Gadget
  • Government
  • internet
  • Investment
  • Market
  • Merger
  • Money
  • Partnership
  • Personnel
  • Service
  • Social Media
  • Startup
  • Stocks
  • telecom
  • Venture Capital

Get top tech business news in your inbox

subscription from
Loading

Popular Tags

Acquisition africa amazon apple bitcoin cbn china coinbase company crypto cryptocurrency e-commerce earnings earnings season elon musk facebook fintech Funding gadget google government india internet Investment ipo kenya microsoft money netflix nigeria payment payments Q1 revenue russia service shares social media Startup Stock tech tesla twitter Ukraine whatsapp

Calendar

July 2022
M T W T F S S
 123
45678910
11121314151617
18192021222324
25262728293031
« Jun    

Categories

  • Acquisition
  • Acquisition & Merger
  • App
  • Banking
  • Capital
  • Cryptocurrency
  • Earnings
  • Ecommerce
  • Economy
  • Enterprise
  • Event
  • Funding
  • Gadget
  • Government
  • internet
  • Investment
  • Market
  • Merger
  • Money
  • Partnership
  • Personnel
  • Service
  • Social Media
  • Startup
  • Stocks
  • telecom
  • Venture Capital

Recent News

  • Financial Inclusion In Nigeria Grew To 45 Percent In 2021 – World Bank
  • Meta Is Shutting Its Novi Digital Wallet By September 1st
  • Crypto Is The Answer To Financial Inclusion, Central African Republic’s President Says Amid Huge Aversion For Its Adoption Of Bitcoin
  • Popular Bitcoin Family Reveals They’ve Had Bitcoin Losses Of Up To $1 Million This Year
  • June Was Bitcoin’s Worst Month On Record After The Flagship Crypto Lost 40 Percent Of Its Value
  • Nigerian Mobility Startup Moove Gets $20 Million From The UK Government’s Development Finance Institution – British International Investment (BII)

© 2021 Techbooky Business - Design by Techbookyelite.

No Result
View All Result
  • Home
  • TechBooky
  • Africa
  • TV
  • Startup
  • Earnings
  • Crypto Price
  • Submit Article
  • Contact Us
  • About Us

© 2021 Techbooky Business - Design by Techbookyelite.

Welcome Back!

Login to your account below

Forgotten Password?

Retrieve your password

Please enter your username or email address to reset your password.

Log In
  • bitcoinBitcoin(BTC)$20,188.005.68%
  • ethereumEthereum(ETH)$1,145.308.81%
  • tetherTether(USDT)$1.00-0.19%
  • usd-coinUSD Coin(USDC)$1.00-0.14%
  • binancecoinBNB(BNB)$231.667.42%
  • Binance USDBinance USD(BUSD)$1.00-0.03%
  • rippleXRP(XRP)$0.3258912.30%
  • cardanoCardano(ADA)$0.4647093.96%
  • SolanaSolana(SOL)$35.508.29%
  • dogecoinDogecoin(DOGE)$0.0691143.92%
  • polkadotPolkadot(DOT)$6.984.24%
  • Shiba InuShiba Inu(SHIB)$0.0000116.45%
  • AvalancheAvalanche(AVAX)$17.728.23%
  • matic-networkPolygon(MATIC)$0.5214.48%
  • Terra Luna ClassicTerra Luna Classic(LUNC)$0.000071-5.36%
Posting....