Shopify has brought another one of the successful developers in its app ecosystem in-house with its latest acquisition.
The Ottawa-based company announced Tuesday that it had acquired Montreal’s Return Magic, which helps Shopify merchants automate their return processes. The startup’s software is used by more than 2,500 merchants on Shopify’s platform.
Financial details of the acquisition have not been disclosed.
Co-founders Guillaume Racine and Raff Paquin announced their firm’s acquisition in a post on Medium. The two credit Shopify’s partner program with helping to grow their company from the early beginnings and say that for that reason the acquisition “felt natural.”
“Shopify presented a unique platform for Return Magic to be bolder, to have a bigger and durable impact,” they wrote. Both Racine and Paquin will join Shopify’s team in Montreal.
Shopify (TSX:SHOP)(NYSE:SHOP) has acquired from within its existing partner pool in the past. Last year, the firm acquired Oberlo, a dropshipping app developer, and in 2016 it acquired San Francisco-based chatbot-maker Kit. Return Magic marks Shopify’s seventh acquisition and its first of 2018.
It’s been a big week for Shopify, which also recently launched its new messaging app, Ping. The free app allows merchants to manage tasks and interact with the Kit virtual assistant on mobile.
Shares of the Ottawa-based e-commerce giant rose to $208.81 on the Toronto Stock Exchange on Tuesday, an increase of roughly 2.5 per cent.