Business
Global-e Announces Closing of Acquisition of Flow Commerce and Expansion of its Leadership Team
The acquisition is expected to strengthen Global-e’s platform offering for emerging brands and is intended to further expand its capabilities and customer
About this update from Global-e Online Ltd.
[{"type":"text","content":"The acquisition is expected to strengthen Global-e’s platform offering for emerging brands and is intended to further expand its capabilities and customer base in the segment\nPETAH-TIKVA, Israel, Jan. 04, 2022 (GLOBE NEWSWIRE) -- Global-e (NASDAQ: GLBE) (“Global-e” or the “Company”), the world’s leading cross-border end-to-end platform for brands and retailers, today announced the closing of its previously reported acquisition of Flow Commerce Inc. (“Flow”), a technology based cross-border e-commerce software solution for emerging brands. Leveraging Flow’s robust API-based technology, Global-e will be well-positioned to provide small merchants with a best-in-class solution, tailored for the needs of emerging brands, with a lightweight integration effort and advanced self-service capabilities, in combination with Global-e’s unique data models and AI-algorithms for conversion optimization. Furthermore, the acquisition is expected to allow Global-e to expand the scope of its exclusive relationship with Shopify to offer certain cross-border services to a broader set of merchants on the platform in addition to its current end-to-end 3rd-party solution catering to established brands. “We are excited to welcome the Flow team into the Global-e family,” said Nir Debbi, President and co-founder of Global-e. “This acquisition will allow us to serve small and emerging brands in the most sophisticated and light-weight way possible, by utilizing Flow’s cutting-edge technology coupled with Global-e’s best-in-class expertise and unique data models, positioning our platform as a leading cross-border solution for any size of merchant.” The deal is valued at up to approximately $500 million (in equal portions of cash and Global-e shares), comprised of a base consideration of approximately $425 million and up to approximately $75 million in potential additional consideration based on certain financial results in 2021, plus approximately $45 million in Global-e shares for certain assumed, performance-based vesting warrants for Flow shares. Concurrently, Global-e issued to Shopify a warrant for approximately $70 million in Global-e shares, as part of the expansion of the strategic partnership between the companies. Flow is expected to generate approximately $20 million in net revenues in calendar year 2021. Furthermore, Global-e announced today the ...