Borderfree, the global e-commerce platform, is buying for $ 100 million

Israeli e-commerce platform Global online (Nasdaq: GLBE) today announced that it has reached a final agreement with Pitney Bowes (NYSE: PBI) to acquire global delivery and postal services company Borderfree for cross-border e-commerce solutions for $ 100 million in cash. The latest acquisition comes six months after Global-e acquired US e-commerce solution company Flow Commerce for up to $ 500 million.

Pitney Bowes, which provides technology, logistics and financial solutions for delivery, parcels, mail and e-commerce, bought Borderfree in 2015 for $ 450 million.

The deal includes a strategic partnership between Global-e and Pitney Bowes, in which Pitney Bowes will provide logistics services to Global-e and its customers and gain access to Global-e’s platform for its customers. The acquisition and partnership will strengthen the solutions offered by Global-e for large organizations, as the two companies combine their capabilities.

Co-founder and President of Global-e Nir Debbie said: “This acquisition follows our strategy to support the global expansion of brands of all sizes in the most complex way possible. By partnering with Pitney Bowes and leveraging Borderfree’s demand-generating capabilities, Global-e will continue to increase the value it brings to global brands that want to take full advantage of their cross-border D2C channel. In addition, the acquisition will further strengthen our leadership as an end-to-end choice solution for every size of retailer, from small and emerging brands to the world’s largest brands. “

Amir Schlahet, co-founder and CEO of Global-e, added: “Borderfree shares our values ​​and efforts to help brands become global.”

The deal is expected to close in the third quarter of 2022, under normal conditions, and Borderfree is expected to report revenues of more than $ 40 million in 2022.

Borderfree was founded in 1999 by Yuval Tal, who also founded Payoneer (Nasdaq: PAYO) payment solution. Initially, the company was involved in international trade and developed a platform that allows customers outside the United States to see online transactions in their local currency and pay with their local credit cards on sites in the United States. After raising $ 40 million from Pitango and other investors in 2014, the company conducted an Nasdaq IPO in 2014 with a valuation of $ 490 million and was sold to Pitney Bowes the following year.

Global-e conducted an IPO of Nasdaq in May 2021 with a valuation of $ 3.6 billion. At its peak last year, Petah Tikva had a market capitalization of more than $ 11 billion, which has since fallen to $ 2.9 billion at the close of trading yesterday. The share price of the company increased by 7.21% in pre-market trading.

Posted by Globes, Israel Business News – en.globes.co.il – on June 21, 2022.

© Copyright by Globes Publisher Itonut (1983) Ltd., 2022.


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