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 base in the segment
Global-e, 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.
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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.
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Furthermore, Global-e announced today the following changes to its leadership team:
- Rob Keve, formerly Flow’s CEO, will join Global-e’s leadership team and will head Global-e’s newly formed SMB division.
- Mike Bryzek, formerly Flow’s CTO, will join Global-e’s leadership team and will serve as its Chief Product Officer. Mike will replace Ira Vinitsky, who has asked to step down after leading Global-e’s product organization for more than 8 years.
- Adi Waiss will join the Global-e’s management team as its global EVP of Projects. Adi, a 5-year veteran of Global-e, will be transitioning from her previous role of VP Global Projects and Solutions.
“On behalf of Global-e’s entire team and board, I’m happy to welcome today Rob, Mike and Adi to our leadership team,” said Amir Schlachet, Co-Founder and CEO of Global-e. “Rob and Mike bring with them many years of experience in building top-notch cross-border services, and I am excited to have such passionate and dedicated leaders join our team. I would also like to congratulate Adi for her promotion, and wish her great success in her new role, leading the company’s entire global projects organization. Finally, on behalf of the entire Global-e family, as Ira moves to a new chapter in her life, I would like to thank her for her dedicated service and great contribution to the success of Global-e, having led Global-e’s product organization since its inception.”
