Buy Now, Pay Later (BNPL) is a new buzzword in the consumer credit industry. It is revolutionising customer payments by being seamlessly integrated into e-commerce as a checkout option. Reportedly, BNPL aims to disrupt the $8 trillion payments industry as more consumers purchase items, be it big or small, in three, four, or six installment payments.
In addition to providing no internet and no late fees to buyers and attracting Gen Z users, even merchants are welcoming these services to boost sales. Recently, we saw BNPL startups Halliday, Tabby, and the fintech giant Klarna secure funding of late as this sector is booming. Now, a Spanish BNPL and fintech platform, SeQura is in the headlines for a funding round.
Raises €150M funding
Barcelona-based SeQura has closed an asset-backed agreement with Citi for up to €150 million of senior financing. The round saw participation from existing financing partner Chenavari, a specialised credit investor based in London. With this round, the total financing potential of SeQura goes up to €200 million.
Bootstrapped until the end of 2021, the fintech has rapidly grown at an average of 100% per year over the last 5 years and is forecasting a €100 million revenue run rate by the end of 2023.
The new facility will increase SeQura’s overall funding capacity and support its international expansion across Southern Europe. Also, it will help the company in the development and launch of new and innovative payment solutions. The new agreement significantly reduces SeQura’s funding cost and will allow it to further its investment into strategic and high-growth initiatives to support our mission of being the preferred partner to the merchants.
“We are delighted to enter into a new financing with Citi, one of the largest and most renowned banks in the world, which will support our focus on building a sustainable business model and enables us to continue to bring innovative payment solutions for both merchants and shoppers.” said Markus Jennemyr, CFO of SeQura
Klarna’s Spanish clone
Founded in 2014 by the Swede David Bäckström in Barcelona. It aims to become a Klarna clone and provide the Spanish merchants and consumers. It provides digital flexible payment solutions with a focus on Southern Europe and Latin America. The company aims to be the preferred payment platform for both merchants and consumers.
It offers a complete product set of digital payment solutions from ‘Pay Now’, Invoice, BNPL, and ‘Part Payments’. Also, it provides a dedicated integrations team to ensure the best possible integration for merchants’ sites.