The acquisition is Square’s largest acquisition to date.
Meanwhile, Afterpay is one of the most prominent companies in the sector. Square says 100,000 merchants use the platform globally, and it has over 16 million customers.
Square said it expects the all-stock deal to close in the first quarter of 2022. The acquisition is not only Square’s biggest acquisition to date, but it is also the largest acquisition of an Australian company to date – according to data from Refinitiv.
“We have built our business to make the financial system more fair, accessible and inclusive, and Afterpay has built a trusted brand along those principles,” he said. in a statement. “Together, we can better connect our Cash App and vendor ecosystem to deliver even more engaging products and services for merchants and consumers, putting the power back in their hands.”
Afterpay co-CEOs Anthony Eisen and Nick Molnar said the move “marks a significant recognition of the Australian technology sector as domestic innovation continues to be shared more widely around the world.”
“By combining with Square, we will further accelerate our growth in the US and globally, provide access to a new class of in-person merchant, and provide our merchants and consumers with a broad platform of new and valuable capabilities and services,” he said in a statement.
— Nathaniel Meyerson and Diksha Madhok contributed to this report.