American digital payments company PayPal has completed the acquisition of Swedish payments company iZettle for around $2.2bn.

The iZettle acquisition, first announced in May this year, forms part of PayPal’s growth strategy and expected to bolster its commerce services for merchants.

PayPal chief operating officer Bill Ready said: “We’re thrilled to welcome the iZettle team to the PayPal family and are excited to expand the ways we serve our small business customers.

“iZettle brings a suite of products and services that allows merchants to meet their customers where they are – online, in store or via mobile.

“This is another step in our journey towards democratising commerce tools to help businesses of all sizes thrive.”

iZettle will continue to operate separately under the PayPal brand. Jacob de Geer, co-founder and CEO of iZettle, will continue to lead the company.

AAlso, the Swedish firm’s co-founder and executive chairman, Magnus Nilsson, has joined PayPal as a part of the deal.

de Geer said: “We share PayPal’s strong belief in the power of small businesses. Together, we will be stronger and move even faster to help small businesses succeed in a world of giants.”

Before the completion of the transaction, the UK Competition and Markets Authority (CMA) launched a review of the iZettle acquisition.