Square, which competes with PayPal in e-commerce purchases, is expanding its presence in other areas. With the purchase of Weebly that was founded in 2007, Square aims at expanding its customer base and offer a single solution for businesses that are looking to have both online and offline stores.
The cash-and- stock deal is expected to close during the next quarter of this year. This deal will help Square increase its footprint globally as Weebly’s paid subscribers, around 40%, are located in other countries. This will also help Square generate revenue from a new channel.
During the fourth quarter of 2017, the company reported 36% growth in revenue. Square boasts of having nearly 7 million monthly active customers. The company’s transaction-based and subscription-based revenue jumped 30% and 96%, respectively. For the first quarter, the company expects revenue to range between $605 million and $620 million. Square is set to report its earnings results on May 2.