South Africa-based buy now pay later fintech startup Payflex has sold its entire operation to Zip, an Australia Securities Exchange (ASX)-listed firm looking to expand its market reach into Africa.
Launched in 2018, Payflex offers a platform through which customers can shop now and pay later at an interest-free rate. The firm took on its first merchant Superbalist.com in 2019 and has now listed more than 1,000 online merchants since then.
Australia-based Zip is one of the leading providers of digital retail finance and payments services. The firm provides point-of-sale credit and digital payment services to the retail, home, health, automotive, and travel industries.
Zip currently has a presence in 12 markets across 5 continents and hopes that Payflex will be an opportunity to explore and penetrate other markets in Africa. Zip has its eye on countries with a large underbanked population.
“The growth of Payflex over the past few years has demonstrated the demand for buy now, pay later in South Africa. Zip’s acquisition will boost the speed and scale of Payflex’s expansion and allow merchants and shoppers to benefit from Zip’s world-class products, platform, and global reach,” said Paul Behrmann, founder, and CEO of Payflex.
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