The transaction enables Affirm, a leading US-based payment over time platform, to expand its presence in Canada and serve more merchants and consumers.
Say, a more flexible and transparent alternative to credit cards, announced today that it has signed a definitive agreement to acquire PayBright, one of Canada’s leading providers buy now pay later. Under the terms of the agreement, Affirm will acquire PayBright for a total cash and equity consideration of approximately CAD 340 million. Additional terms of the transaction were not disclosed.
The combination of Affirm and PayBright unites two innovators with complementary business relationships and deeply aligned cultural values, and creates a platform of payment solutions with greater scale and reach. Together, Affirm and PayBright will have a larger and more diverse business network in the United States and Canada. Additionally, the PayBright first-to-act advantage in Canada provides Affirm with the opportunity to continue to expand.
“We are excited to combine with PayBright, creating the opportunity to expand our presence in North America and scale our platform,” said Max Levchin, CEO and founder of Affirm. “PayBright shares Affirm’s goal of improving the payment experience for consumers and merchants alike, and the PayBright merchant base complements our own customer network. We look forward to welcoming their talented team to the Affirm family.”
“We created PayBright with a mission to make the everyday business experience simply better for Canadians,” said Wayne Pommen, President and CEO of PayBright. “Partnering with Affirm gives us the opportunity to deliver on that promise on a much larger scale. Affirm’s network, focus on trust and transparency, and industry-leading technology make it the ideal partner for PayBright. part of a larger multinational organization, we can help more merchants attract new customers and give more consumers more control and flexibility in their purchasing decisions. We are delighted to join forces with Affirm and bring Buy Now Pay Later to next level in Canada. “
Built on basic principles of simplicity, transparency and putting people first, Affirm’s mission is to offer honest financial products that improve lives. Since its founding in 2012, Affirm has charged $ 0 in late fees. Affirm’s payment solution allows consumers to select how they want to pay, including biweekly and monthly payment options, per transaction. The company’s business model is aligned with the interests of both consumers and merchants, leveraging a data-driven approach to inform risk assessment that results in empowering consumers and generating value for merchants. .
The transaction is expected to close in the first quarter of calendar year 2021, subject to customary closing conditions.
Baker McKenzie and Norton Rose Fulbright acted as legal advisers to Affirm.
PJ SOLOMON acted as financial advisor to PayBright and Borden Ladner Gervais LLP (BLG) acted as legal advisor.
Affirm was created especially to provide honest financial products and services that improve their lives for consumers and merchants. We are revolutionizing the financial industry to be more accountable and accessible while developing a network that is beneficial to consumers and merchants. Affirm offers more than 6.2 million US and Canadian consumers a better alternative to traditional credit cards, giving them the flexibility to buy now and pay over time at virtually any store. Unlike payment options that have late fees, compound interest, and unexpected costs, Affirm shows customers exactly what they will pay in advance, with no hidden fees or surprises. Affirm partners with more than 6,500 merchants in the US, helping them increase sales and access new consumers. Our merchants include brands such as Walmart, Peloton, Oscar de la Renta, Audi, and Expedia, and span verticals including home and lifestyle, travel, personal fitness, electronics, apparel and beauty, automobiles, and more. Loans through Affirm are provided by these lending partners: assertm.com/lenders.
PayBright is one of Canada’s leading providers of installment payment plans for e-commerce and in-store purchases. Through partnerships with more than 7,000 national and international retailers, PayBright enables Canadian consumers to buy now and pay later in a quick and easy experience. PayBright is fully integrated with leading retail partners, including Hudson’s Bay, Oakley, SAIL, Steve Madden, eBay, Dynamite, SHEIN, Wayfair, Samsung, and Endy. PayBright installment payment plans range from four interest-free biweekly payments for smaller purchases and up to 60 months for larger purchases. In 2017, PayBright powered Canada’s first e-commerce installment payment transaction and since then its platform has grown significantly. Unlike other installment payment options, PayBright does not require consumers to sign up for a credit card and does not charge hidden fees, retroactive interest, or revolving interest. PayBright was named Canada’s Fintech Company of the Year in 2019 by the Digital Finance Institute, and was recently named in Deloitte’s Technology Fast 50 for 2020, in recognition of Canada’s fastest growing technology companies in the previous four years .
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