Boston, MA 10/14/2013 (wallstreetpr) – eBay Inc. (NASDAQ:EBAY) is a technology company which offers online platforms, services, and various tools to help the customers, inclusive of merchants and individuals, carry out commerce activities and payments globally. EBAY allows e-commerce via following key segments such as GSI, Payments and Market places.
EBAY is the key behind eBay.com and PayPal.com, and has grown into a mammoth auction website, by selling numerous of items every year leading support to their rising revenues. We believe that increasing revenue has resulted into company financial strength. The company’s huge cash balance helps EBAY to go for the organic acquisition.
As per the reports, the company has agreed to acquire a company with an innovative payment platform for the total consideration of $800 million. Braintree is one of the service providers which provide such a platform and suits perfectly with PayPal.com (company website). EBAY has agreed to acquire Braintree.
We believe that, by using Braintree, it will further enhance PayPal’s mobile payments. PayPal, in collaboration with the Braintree, will help the company enhance their leadership by providing innovative payment solutions for the new generations. We believe that a coalition of both the companies would aid EBAY in foraying into new markets with better speed and more resources. We do not foresee any problems in the acquisition of any website portal, as it would be backed by the company’s financial strength of approximately $11.7 billion.
The acquisition would help in increasing overall volume to PayPal’s 2013 total payment volume in coming years. EBAY is always scouting to acquire a company which can provide an innovative platform, either for the online or mobile payment service, so that they can provide efficient service to the customer by increasing their total payments volume and making their cash flow position strengthen further.