Reports say the companies have generally kept quiet about the deal, but eCommerce platform Shopify has officially confirmed its acquisition of B2B eCommerce portal Handshake.
TechCrunch said Thursday (May 23) that Shopify provided a short statement, saying “Handshake is now a part of Shopify.”
“We consider acquisitions in the normal course of business as we focus on making commerce better for everyone,” the statement added, and while Shopify did not reveal how much it paid for Handshake, an unnamed source said it was below $100 million.
Another source revealed that Shopify first announced the takeover internally to its employees earlier this month. Handshake Founder and CEO Glen Coates is now director of product at Shopify Plus, the company’s extended eCommerce services unit.
Handshake raised $14 million in 2016, when it was valued at below $54 million, with investors at Sozo Ventures leading the way. Soon after, the company launched its mobile B2B eCommerce service, enabling vendors to connect to potential buyers via mobile device.
Most recently, the company struck a collaboration with payments company Square. That deal, announced last year, included Square powering B2B payments on the Handshake platform in an integration available through the Square App Marketplace.
While Shopify operates a wholesale B2B platform, the company’s most recent investments have gone toward sellers on its platform in the B2C commerce space.
Last month Shopify announced a partnership with Snap, enabling merchants on the Shopify platform to boost their marketing efforts and purchase Snapchat Story ad campaigns on the Shopify platform. Also last month, the firm introduced new hardware for the retail sector to improve in-person shopping experiences for consumers at top brands.
“We’ve helped merchants successfully build and grow their online stores for 14 years, and now we’re the best partner to help entrepreneurs capitalize on the huge opportunity of in-person selling,” said Shopify Chief Product Officer Craig Miller in a statement at the time.