American online payments firm Payoneer has completed the acquisition of Armor Payments, an escrow-as-a-service payment company.
The deal will allow buyers and sellers, whether transacting directly or through B2B marketplaces, to reduce the uncertainty and risk associated with high-value B2B purchases by making secure, online escrow payments across the world.
The acquisition will integrate the security of payments provided by Armor Payments with Payoneer’s multi-currency cross-border payment capabilities, creating new global opportunities for businesses of all sizes.
Both the companies will together bring a powerful escrow solution to the market. Financial terms of the transaction have not been disclosed.
Payoneer said that the EaaS solution enables B2B marketplaces to integrate a simple API and offer secure payments that protect their buyers and sellers.
With this combined service, businesses of all sizes can conduct B2B transactions ranging from $500 and $1m.
Under the agreement, Armor Payments team will join Payoneer’s office in California and maintain its development center in North Carolina.
Payoneer CEO Scott Galit said: "The escrow solution of Armor Payments fills in a critical missing link for B2B transactions, and moves beyond payments to address the trust gap that often exists between trading partners.
"By acquiring Armor Payments, we are staying true to our vision of empowering global commerce by connecting businesses, professionals, countries and currencies. Our combined capabilities create a unique global platform that enables more businesses to grow faster by allowing them to securely trade across borders with more partners in more places, regardless of where they are in the world."
Armor Payments co-founder and CEO Scott Reynolds said: "Our EaaS solution enables B2B marketplaces to offer their customers secure, cost-effective methods of payment that can easily be built into their platforms."