Jack Dorsey’s Square Agreed to Buy Afterpay for $29 Billion

Jack Dorsey, the CEO of Twitter, has its own payment processing company Square and is already doing fine with it, but in the light of expanding the payment processing circle, Dorsey is now acquiring Afterpay, another payment processing giant via Square for $29 billion. Once the merger is done and the details are finalized, the users of Afterpay will be able to use the Bitcoin purchase feature of the app.

The Australian payment processing company Afterpay has agreed to sell the company at the last closing price of their stock as of the 30th July 2021, and the merger is expected to take place in 2022’s first quarter. This is in light of the closing conditions proposed by the court for the appointed date and the merger’s conditions being fulfilled by both parties.

Afterpay Customers will be Able to Enjoy Crypto Services

The classic set of instructions proposed by the court and accepted by both parties include the transfer of the stock value to Afterpay’s shareholders at an accepted conversation rate of about 0.375 shares of the Square common stock for every share of the Afterpay. This will only be applicable to the shareholders that hold the share on the record date and not after or before it.

As proposed by the court, Square has agreed to pay almost 1% of the total amount in terms of cash upfront and the rest of it when the merger is successful and through. Square is also willing to set up a conventional relay on the Australian Securities Exchange to support the Afterpay shareholders for the trading of their shares in correspondence with Square’s shares on the dedicated stock exchange.

Afterpay is a complete payment processing entity on its own, but given the acquisition becomes successful, Square will integrate the main working engine of the app into its cash app and the seller platforms. This will allow all the current and the new customers of the cash app to make payments with Square and even purchase products via Bitcoin that they will hold in their crypto wallets while everything is integrated into the Square app.