Freelancer Ltd (FLN: ASX) earlier this week announced that it has entered into a definitive agreement to acquire Escrow.com, a California headquartered provider of online payment services that facilitates and accelerates e-commerce by assuring secure settlements.

Escrow.com is a provider of secure online payments and online transaction management for consumers and businesses. In 2014 the company reported net revenue of USD 5 million and EDITDA of USD 1.2 million.

The platform facilitated gross payments of USD 265 million last year.

Matt Barrie, CEO of Freelancer, commented: “We are pleased to acquire Escrow.com, the world’s largest online escrow company. This highly complementary acquisition will enhance the ability of our 15 million users to transact securely, and there are large opportunities for growth and synergies with core offering. Finally, it is a strong cornerstone for entering the payments space.”

Brandon Abbey, President and Managing Director of Escrow.com, added: “We are excited to be joining the Freelancer.com group. Freelancer’s expertise in marketplaces, combined with our expertise in secure online payments, are an excellent strategic fit.”

Freelancer will acquire the company from a private investor, subject to regulatory approval, for USD 7.5 million in cash.

A capital raising of AUD 10 million (USD 8 million) of ordinary shares to institutional investors was oversubscribed and has been completed to fund the acquisition, and for general corporate purposes.