Square Inc., the leading mobile payments company, has acquired online website creator Weebly, in a cash and stock deal worth $365 million.
Founded in 2007, Weebly is a San Francisco-based technology company that allows customers to start and grow an online business with curated website templates, powerful e-commerce and integrated marketing solutions.
On the other hand, Square is known for its payment software and hardware. The company expanded its portfolio by acquiring Caviar, the food delivery service, and Zesty, the corporate catering startup.
Weebly has over 625,000 paid subscribers worldwide, and around 40% of which are outside the U.S. The acquisition will help Square to expand its customer base around the world and add new revenue stream.
The Weebly customers will be able to access Square’s ecosystem of managed payments, hardware, as well as software. Square believes that its services will perfectly complement the services of Weebly which include web hosting, web designing, online store, and marketing tools.
“Square and Weebly share a passion for empowering and celebrating entrepreneurs,” said Jack Dorsey, CEO of Square. “Square began its journey with in-person solutions while Weebly began its journey online. Since then, we’ve both been building services to bridge these channels, and we can go even further and faster together.”
By acquiring Weebly, Square will also enable sellers to easily start or grow an omnichannel business through a cohesive solution. The omni-channel approach can make it easier for buyers and sellers to perform the critical business tasks like managing orders, growing sales, engaging with customers, as well as making informed business decisions.
“Entrepreneurship gives an opportunity to people who were never given one,” said David Rusenko, CEO of Weebly. “Weebly has created technology that helps people bring their business idea to life online. Now, we will be expanding that vision to help entrepreneurs succeed beyond their website. I’m excited for Weebly to join Square and help build the future of commerce together.”
The acquisition is expected to close during the second quarter of 2018. The companies will continue to operate independently until the closure of transaction.