Affirm Holdings Inc. (AFRM) plans to acquire Returnly, the company announced Wednesday. The deal has a total cash and equity consideration of $300 million. Returnly makes it easier for merchants to process returns by offering instant store credit even before an item is returned to the merchant. Returnly's offering enables consumers to use their store credit to get replacement items before their return is fully processed. In doing so, Returnly "takes the product return risk and settles orders in real time," Affirm said in a press release. "Store credit, issued before the item is actually returned, is now a practical requirement in highly competitive segments like fashion and lifestyle," Affirm Chief Executive Max Levchin said in the release. Affirm plans to introduce Returnly customers to its buy-now-pay-later offering as well. The company expects the deal to close this quarter and doesn't anticipate that the acquisition will have a material impact on its financial results for the second half of its fiscal year, which ends in June.
-Emily Bary; 415-439-6400; AskNewswires@dowjones.com
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