Alibaba, Google’s parent company, has announced it will sell a $1 billion mobile payments deal with the tech giant, bringing its total funding to more than $1 trillion.
The deal was announced on Thursday by Alibaba Chairman and CEO Jack Ma and Google CEO Sundar Pichai.
It will be the largest mobile payments transaction in history.
The agreement, which includes Alibaba payments partner VISA, will be completed in January 2019, said Ma, who also noted that Alibaba’s payment system is designed to work on a global scale.
The Alibaba deal, which will be made official on Jan. 2, is one of the largest in history, with Google accounting for the majority of the total amount.
Alibaba will pay Google $1,567 per share in cash and $1 per share of Alibaba’s common stock.
Google will receive $100 billion in cash, $50 billion in Alibaba common stock and $50 million of cash equivalents, the two companies said.
Google, which was valued at $20.7 billion when the deal was struck, will receive a $150 million cash incentive.
The terms of the deal were not disclosed.
Google was founded in 1994 by Larry Page, the Google founder and chief executive officer.
The company’s valuation at the end of last year was $17.7 trillion.
In June, Alibaba said it would sell $100 million worth of shares in Google to help pay for the deal.
Last week, Google announced it had reached a deal with Amazon that would give the tech company $500 million.
The Amazon deal, the first with a single technology company, is expected to bring in another $1bn in cash.
