eBay acquires global payment platform Braintree

eBay acquires Braintree

eBay acquires Braintree

Online retail giant eBay has announced it has forged an agreement to buy Braintree online payment system for a whopping $800 million.

As part of the deal, Braintree will be integrated into eBay’s PayPal unit, although the company will continue to operate as a separate service. Its CEO Bill Ready (pictured below, left) will continue to lead the team, this time reporting to PayPal President David Marcus, and all its managers and employees will stay put.

In a press statement, eBay President and CEO John Donahoe (pictured below, right) said that Braintree is a “perfect fit” with PayPal. “Bill Ready and his team add complementary talent and technology that we believe will help accelerate PayPal’s global leadership in mobile payments. Together, we expect that PayPal and Braintree also will accelerate our leadership in supporting developers who are creating innovative solutions for next generation commerce startups.”

eBay acquires Braintree

In the same press release, Ready said: “The alignment with PayPal means Braintree can continue to push the boundaries of innovation while expanding into new markets with increased speed and confidence. Our current customers and developer community can expect the same level of support and partnership they’ve always enjoyed, coupled with more resources.”

Founded six years ago, the Chicago-based Braintress offers back-end payment solutions to notable online services such as LivingSocial, Uber, and Airbnb among others. The company processes over $10 billion in payments every year.

Like all acquisitions, the eBay-Braintree deal will be subject to regulatory approvals before it is given a go signal, which is expected at around the fourth quarter of 2013.

Source: BusinessWire

Image source: Denis Radovanovic/ Shutterstock.com; Business Wire

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