(Reuters) -U.S. fintech company Square Inc said on Monday it had agreed to purchase Australian buy now/pay later giant Afterpay Ltd in an all-stock deal worth about $29 billion.

Afterpay shareholders will get 0.375 shares of Square class A stock for every share they own, implying a price of about A$126.21 per share based on Square’s Friday close, the companies said in a joint statement.

The offer price is a more than 30% premium to Afterpay’s last close and the Australian firm’s shareholders are expected to own about 18.5% of the combined company.

(Reporting by Shashwat AwasthiEditing by Chris Reese)