Shopify has invested hundreds of millions of dollars in payment processing software firm Stripe over a series of transactions, according to a report in a prominent U.S. business publication.
Citing unnamed sources, the Wall Street Journal said Monday that Shopify has invested more than US$350 million in Stripe, which provides payment processing services to the Ottawa-based e-commerce giant.
Shopify officials did not not immediately comment Tuesday when asked to verify the report.
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Shopify is one of Stripe’s largest clients, and the relationship between the two companies grew even deeper earlier this year when Shopify began offering financial services such as debit cards to merchants.
Stripe’s platform helps store and move funds for those customers, according to a previous Wall Street Journal report.
Shopify, which has surpassed RBC to become Canada’s most valuable publicly traded company, builds and manages online storefronts from more than 1.7 million merchants worldwide. The company said recently it plans to pursue more “strategic partnerships” with other e-commerce service providers as it looks to add to its revenue streams.
While its revenues have grown exponentially over the past few years, the Ottawa-based firm hasn’t been a major M&A player. Shopify’s biggest acquisition to date is its $450-million deal for Massachusetts-based robotics firm 6 River Systems in 2019.