Jack Dorsey’s Square Buys Afterpay For $29 Billion
Digital payments company Square, founded by billionaire tech entrepreneur Jack Dorsey, has bought “buy-now-pay-later” service Afterpay for $29 billion.
Square and Afterpay have entered into a “Scheme Implementation Deed” under which Square will acquire all of the issued shares in Afterpay. The transaction will be paid entirely in stock and is estimated to have a value of $29 billion.
Like many other buy-now-pay-later companies, Afterpay has thrived during the pandemic as more shoppers have turned to online apps and websites. By 2025, Research firm CB Insights expects the buy-now-pay-later sector to grow between 10-15 times.
In a statement, Square’s billionaire founder and CEO, Jack Dorsey, said that Afterpay and Square have a shared purpose, with both businesses aiming to make the financial system fairer, more accessible, and more inclusive. Dorsey says he believes the merging of Square and Afterpay will bring more compelling products and services to consumers and merchants alike.
Square was founded by Dorsey in 2009, alongside Jim McKelvey. Dorsey, who has stood as CEO of Twitter and Square since 2015, has an estimated net worth of $14.8 billion.