PayPal announced Thursday (June 21) that, following on the heels of its acquisition of Hyperwallet earlier this week, it is acquiring Simility, which is a fraud prevention and risk management platform. In a company blog post, PayPal said that — like with the acquisition of Hyperwallet and the others previously announced during the past 12 months — it is part of an effort to enhance and strengthen the suite of services it can provide so it can provide one-stop solutions for merchants.
According to the company, PayPal invested in Simility last year because it thought the company had a “unique” approach that goes beyond legacy fraud and risk solutions. Simility puts control in the merchants’ hands so that they can better protect customer on mobile. PayPal said that following the close of the deal, merchants on the PayPal platform will gain access to fraud tools that can be customized for their business through the existing management dashboard.
“These machine learning-powered tools, which adapt and evolve with each transaction, will enhance payment experiences for merchants and their customers, and help to further democratize access to PayPal’s existing world-class risk and fraud tools.,” PayPal said.
On Tuesday (June 19), PayPal said it will buy payments payout platform Hyperwallet for $400 million in cash. The deal will give PayPal greater strength in eCommerce and online marketplaces. Marketplace sales accounted for 50 percent of all online sales in 2017, according to an estimate provided by PayPal.