Global-e acquires US payment solutions company Borderfree for $100 million

Israeli e-commerce company Global-e announced last week that it would acquire Borderfree, the US-based payment solutions company, for $100 million in cash.

The company will also partner with current owners of Borderfree, Pitney Bowes, the US shipping and courier company, in a move that will attract more large retailers, Global-e said in the announcement.

As part of the agreement, Pitney Bowes customers will have access to cross-border solutions on the Global-e platform.

Global-e partners with 650 brands around the world, helping them sell directly to overseas customers in what it calls a “seamless, localized shopping experience”.

Borderfree, founded in 1999, helps retailers enter new global markets by localizing their national website in over 200 countries.

Current Borderfree customers will have access to the location capabilities of Global-e’s platform, in combination with Global-e’s unique data models and AI algorithms for conversion optimization.

“This acquisition is part of our strategy to support the global expansion of brands of all sizes in the most sophisticated way possible,” said Nir Debbi, President and Co-Founder of Global-e. He expects Borderfree to generate over $40 million by the end of this year.

“Pitney Bowes is delighted to form a strategic partnership with Global-e to further expand our suite of cross-border engineered services,” said Gregg Zegras, executive vice president and president of global e-commerce for Pitney Bowes.

Global-e aims to make selling internationally as easy as selling domestically. It was founded in 2013 by three former employees of Bank Hapoalim, one of Israel’s largest banks.

Pitney Bowes bought competitor Borderfree for $395 million in May 2015. The company started life as FiftyOne Global Ecommerce and became part of Canadian company Borderfree in 2012.

“Borderfree shares our values ​​and aspirations to help brands go global,” said Amir Schlachet, CEO and co-founder of Global-e. “We are thrilled to welcome the Borderfree team to the Global-e family and are thrilled at the opportunity to partner with Pitney Bowes.”

Source link

Elaine R. Knight