Why didn’t square buy affirm instead of afterpay?
Seems odd to me… Is someone else on the brink of acquiring Affirm???
I suppose Afterpay has 4.6 rating on blind 🤣
Afterpay is not public, so more value for the buck in general.
How? It’s valuation is double affirms…
Nevermind, even Afterpay is public. It does look like Square overpaid atleast at this stage. But I guess its keeping in mind that this area is heating up and lot of these companies will consolidate ! Square wanted to have a leg up. They must have had discussion with Affirm. Good time to join other such small payment companies which can be target for likes of Apple, PayPal etc
Square wants to buy values, not overpriced fad.
My 2 cents; SQ overpaid for Afterpay. Afterpay is the least tech advanced compared to affirm and klarna. The purchase seems more oriented around buying enterprise client relations (which aren’t even permanent nor definitively LT contracts) and the customers. Also can’t see the synergies between an Australia heavy BNPL with an American point of sale focused company (and cash app is mostly American). Don’t see much cost synergy either, poor choice to overpay for revenue synergies.
“Square Overpays for Afterpay” might have been a good headline
Way the VC world works, I am sure this area will heat up and all of these payment companies will hit big valuations.
One opinion: Assuming the two products are similar, you pay a premium on affirm for marketshare. Square already has market share.
I’m sure there were some talks. But I doubt Max would have been down for this.
Affirms main source of revenues is Peloton. Just saying.
Affirm is eyeing IPO not acquisition
Affirm is already public bro ……
Woah 🤯 thanks!