Melio, founded in 2018 and headquartered in New York with offices in Tel Aviv, Israel, serves over 80,000 US SMBs and accounting firms.

Xero said the acquisition of Melio will accelerate its global aspirations and solve a critical customer need in the U.S. by uniting accounting and payments in one platform for customers.

Xero Ltd, a cloud-based accounting software firm, has agreed to buy Melio Payments Inc for US$2.5bil as the New Zealand company pushes deeper into the US market with its biggest-ever acquisition.