Amazon.com has acquired Flipkup, a mobile payment app that was launched in 2015.
The company is expected to spend a whopping $1.6 billion to buy the startup for $500 million.
The deal follows the acquisition of Uber by Uber Technologies last year for $680 million.
Amazon said the deal was in line with its plans to acquire companies from the technology industry to further expand its global footprint.
“This acquisition marks Amazon’s continuing commitment to the growing ecosystem of mobile payments and will further accelerate Amazon’s mobile payment capabilities across its e-commerce and logistics platforms,” Amazon CEO Jeff Bezos said in a statement.
“We look forward to working with Flipkups team to accelerate this strategy.”
The Flipkuppers team was formed in 2014.
It currently has over 6,000 employees worldwide.