Japanese buy-now-pay-later provider Paidy completed a $120m Series D funding round.
The capital influx included investors such as JS Capital Management LLC, Soros Capital Management LLC, Tybourne Capital Management Ltd and Wellington Management.
The investment round which follows loan facilities the firm secured from Goldman Sachs, Sumitomo Mitsui Banking Corporation and Mizuho Bank since late 2020, brought the total capital raised since its inception to $585m, $337m of which was through equity funding.
The new cash injection will be used to expand transactions with large merchants, develop new services and develop its new offering called ‘3-Pay’, which allows customers to split charges into three equal, interest-free, monthly instalments.
Paidy was launched to help Japanese consumers make online purchases without credit cards through its post-pay credit account for eCommerce. Once registered, customers make purchases using a mobile phone number and email address with a verification code, before settling a single monthly bill for all their purchases by bank transfer or auto-debit.
The firm which was launched in 2014 claims to have serviced more than five million consumer accounts until now that can be used at over 700,000 websites.
Commenting on the new round, Paidy founder and executive chairman Russell Cummer said, “Having the support of a powerful lineup including our existing shareholder JS Capital and Soros Capital of the United States and Tybourne of Hong Kong and Wellington Management, makes me feel very encouraged about the future growth potential of a born-in-Japan startup that offers new values to the world.”
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