PayPal has agreed to acquire Simility, a fraud prevention and risk management company that uses machine learning and device intelligence, for $120 million. Subject to customary closing conditions, the transaction is expected to close in the third quarter of 2018.

Digital commerce has exploded, and fraudsters have taken note, adapting and developing new methods to carry out their crimes,” said Bill Ready, chief operating officer, PayPal. “Together with Simility, we will be able to put more control in the hands of our merchants to fight fraud while helping make commerce experiences faster and more secure.”

Following the close of the transaction, merchants on the PayPal platform will gain access to fraud tools that can be customized to reflect the nuances of their businesses through their existing account management dashboard, said PayPal.

[Image courtesy: Simility]