Square is stepping into the limelight.
Today, the mobile payments company announced it would acquire website creation platform Weebly for $365 million in cash and stock. Square said that the Weebly acquisition would allow the companies to “build the future of commerce together.”
In other words, Weebly will expand Square’s customer base and add a new recurring revenue stream. Square would gain exposure to the site’s millions of customers worldwide and more than 625,000 paid subscribers. Approximately 40% of Weebly’s paid subscribers are outside of the U.S, which will help further Square’s global ambitions.
“Square began its journey with in-person solutions, while Weebly began its journey online. Since then, we’ve both been building services to bridge these channels, and we can go even further and faster together,” said Square CEO Jack Dorsey in a news release.
It’s easy to forget that Dorsey splits his time as the chief executive of two companies — Square and Twitter. Square is the company that you know, and actually makes money. In November, the payments startup eclipsed Twitter as its market value skyrocketed.
And now, it’s using its capital to broaden its reach in other markets. Just last week, it acquired assets from Zesty, the corporate catering startup. The deal was seen as an effort to boost Square’s Caviar corporate food ordering service. In January, Square also scooped up Entrees On-Trays, a restaurant delivery service.
While we’re all busy paying attention to Twitter’s latest quarterly performance, Square is busy becoming one of Silicon Valley’s most understated success stories.