Zopa has announced that it is set to acquire buy now pay later (BNPL) specialist DivideBuy.
Dividebuy provides point-of-sale (POS) finance technology and lending platforms. The transaction, which will complete in the next few months, marks Zopa’s first acquisition and follows just weeks after the digital lender raised a £75 million to fund acquisitions.
DivideBuy allows merchants to offer their customers interest free payment options at checkout. Shoppers can spread the cost of their purchases over a 2-12-month period with over 400 merchants.
Jaidev Janardana, CEO at Zopa, said “This acquisition helps us bring to life BNPL 2.0, an evolution of BNPL which we believe delivers the easy, integrated product which customers love whilst also addressing some of the issues around affordability and responsible lending which have plagued the sector.”
“We are proud to be entering the POS space with DivideBuy, a market-leader with a standout product and technology stack, and a culture that is closely aligned to our values of fairness and customer centricity.”
“Combining DivideBuy’s POS financing solution with Zopa’s best-in-class underwriting capabilities, regulatory permissions, and access to funding will enable digital-first journeys that bring new value to merchants and consistently delight customers. We are thrilled to welcome DivideBuy into the Zopa family.”‘
Robert Flowers, CEO at DivideBuy said “We were delighted to be approached by Zopa in its search for a POS finance provider to support its vision of building Britain’s best bank. DivideBuy’s product, technology and culture align perfectly with Zopa’s values and brand strength, making this an ideal fit for the future of lending. Our LendTech solution will enable Zopa to leverage its core lending capabilities and build a market-leading POS finance solution.”
“DivideBuy’s mission has always been to help make life more affordable. This deal with Zopa will bolster our current product suite to help us take POS finance further, faster – with ethical lending at the core. This approach will ensure we meet upcoming regulation head-on to deliver a BNPL 2.0 that’s better for everyone.”
“We’re particularly excited for our people. Zopa and DivideBuy share a strong people-focused culture, and we’re committed to empowering our collective teams with new upskilling and career opportunities. We look forward to the next chapter of growth as part of the Zopa Group.”