Tokyo, Sep 8 (EFE).- US online payment company PayPal will acquire Paidy, a leading Japanese payments platform, for 300 billion yen (about $2.72 billion), according to an announcement by the two companies on Wednesday.
The transaction is expected to conclude by the last quarter of 2021, after the final details of the agreement are worked on and following the approval from the relevant regulatory authorities.
“The acquisition will expand PayPal’s capabilities, distribution and relevance in the domestic payments market in Japan, the third largest ecommerce market in the world, complementing the company’s existing cross-border ecommerce business in the country,” said the US-based firm in a statement.
Paidy allows consumers to shop online and generates a consolidated invoice each month that they can pay at several designated convenience stores or by bank transfer.
Currently, the Japanese platform – one of the most successful startups in the country – has more than six million registered users.
“With PayPal’s expertise, resources and global scale, Paidy will be able to further achieve our mission of taking the hassle out of shopping. Japan has been a vibrant environment for our growth to date and we’re honored to have our team’s hard work and potential recognized by a global leader,” The Japanese firm said in a statement.
Following the acquisition, Paidy will continue to operate its existing business and maintain as before. EFE