PayPal Makes Its First Acquisition Post eBay Split The digital payments company bought mobile commerce startup Modest.

PayPal has bought mobile commerce startup Modest, marking the digital payment giant's first acquisition since spinning out of eBay last month.

Modest, which premiered publicly earlier this year, helps merchants create mobile apps for their stores.

"Mobile commerce sucks, and we wanted to change that," said Modest co-founder Harper Reed in an interview withFortune.

Reed was formerly the chief technology officer for President Obama's 2012 re-election campaign. Modest's other co-founder, Dylan Richard, was the lead engineer for the campaign.

Modest will be part of PayPal's Braintree business, which manages and processes payments for companies like ride sharing giant Uber. Both companies declined to reveal the financial terms of the acquisition.