Aug. 2 (UPI) -- Financial services company Square announced plans to purchase Australian firm Afterpay in a $29 billion deal.
Square announced the all-stock deal in a statement Sunday evening, saying it plans to merge Afterpay's "buy now, pay later" service with its apps including Seller and Cash App.
Afterpay's buy now, pay later allows customers to divide retail and online payments into installments and the companies said they plan to allow customers to manage these payments within Cash App.
Jack Dorsey, co-founder and CEO of Square as well as social media giant Twitter, said the two companies have a "shared purpose."
"Together, we can better connect our Cash App and Seller ecosystems to deliver even more compelling products and services for merchants and consumers, putting the power back in their hands," said Dorsey.
Square noted that Afterpay serves more than 16 million consumers and 100,000 merchants globally.
"We are fully aligned with Square's purpose and, together, we hope to continue redefining financial wellness and responsible spending for our customers," said Anthony Eisen and Nick Molnar, Afterpay's co-founders and co-CEOs.
Square said the transaction is expected to be closed in the first quarter of 2022.