eBay acquires payment company Braintree
In a move aimed at consolidating its subsidiary PayPal's position in mobile payments, internet corporation eBay is set to pay $800m for online payments platform Braintree.
In a move aimed at consolidating its subsidiary PayPal’s position in mobile payments, internet corporation eBay is set to acquire online payments platform Braintree for $800m for .
The deal comes as PayPal continues to move into the mobile payments sector, under the leadership of new president David Marcus.
Start-up payment companies have proved more successful at offering a payment platform suited to mobile transactions.
Chicago-based Braintree has proven popular with internet companies relying on mobile payments.
Braintree has helped provide card infrastructures for many such companies, appealing to the consumers and expanding through the new "sharing economy" market that PayPal has its sights set on.
Commenting on the acquisition, Marcus said that Braintree would continue "business as usual", while benefiting from PayPal’s experience with "regulatory and logistical hurdles".
EBay’s largest acquisition since 2011, the deal is expected to close in late 2013.