BNPL firm enters administration

Buy now, pay later (BNPL) firm, Laybuy, has collapsed into administration.

Laybuy’s UK arm, with around 300,000 customers, has appointed administrators at FTI Consulting. Aound 10,500 shops and businesses let shoppers pay with Laybuy, around 2,600 in the UK. Laybuy has around 29 employees in the UK.

The company is no longer accepting new transactions and customers have been advised to continue to make payments as normal. The UK arm’s administrators are working closely with Deloitte New Zealand and Deloitte Australia, who are now responsible for managing the entire company.

Laybuy put itself up for sale in April and was reportedly looking to delist from New Zealand’s junior stock exchange. It is thought that the collapse of the UK arm was necessary due to unsuccessful efforts to secure additional investment or sell the business and/or assets.

The firm operates across New Zealand, Australia, and the UK with 500,000 users globally.

Sam Ballinger, joint administrator at FTI Consulting, said “The joint administrators are currently assessing the options available to the companies and supporting the employees, merchants and other affected stakeholders through this difficult period.

“Laybuy is not currently accepting new transactions, however, customers should continue to make payments as normal.”