High-growth, US-based payment installment platform QuadPay today announced that it has secured a senior secured committed revolving line of credit of up to $200 million from Goldman Sachs, with mezzanine financing provided by Oaktree Capital. QuadPay will use the credit facility to expand its Buy Now, Pay Later (BNPL) business to new merchants throughout the United States.
Founded in 2017, QuadPay was an early entrant into the US BNPL market and has since seen rapid growth, with customer numbers increasing by 33% in the last quarter alone. QuadPay partners with retailers to allow their customers to pay via installments for merchandise purchased online or in-store. Earlier this month, QuadPay recently merged with Zip Co Ltd (ASX: Z1P), to create a $2 billion global payments business. The combined entity has over 4 million customers and 26,000 merchant partners.
QuadPay secured its credit facility from Goldman Sachs and Oaktree with advisory from Finitive, leveraging their direct lending platform. The facility was structured in a special purpose vehicle (SPV) secured by QuadPay’s existing installment receivables portfolio.
“The global BNPL market is expected to grow significantly as retailers leverage alternative payment services to reach more customers. “We are thrilled for this financing partnership with Goldman Sachs and Oaktree Capital to assist our growth and continued participation in this trend,” said Adam Ezra, co-CEO of QuadPay. “We are also particularly pleased to be completing this transaction despite being in the middle of a pandemic and are grateful to Finitive who assisted from the commencement of our process.”
“QuadPay has a strong management team and compelling offering. During our matching process, QuadPay garnered significant interest and term sheets among institutional investors interested in investing in the company’s growth,” said Caroline Hayes, President of Finitive. “We look forward to seeing QuadPay expand its merchant base and services with the support of two strong institutions.”
QuadPay (ASX: Z1P) is a leading US-based installments platform, providing consumers with a simple, transparent, and financially responsible alternative to traditional credit. QuadPay is reinventing the payments landscape with its focus on innovation and customer-centricity, enabling more than 1.8 million customers to pay in four interest-free installments over six weeks. The company’s market-leading app, which has been downloaded over 2.3 million times, enables seamless integration for merchants and the ability for customers to shop online and in-store interest-free, not just with QuadPay’s 4,700 integrated merchants, but with leading global retailers. For more information, visit: www.quadpay.com.
Finitive is a financial technology platform providing institutional investors with direct access to alternative lending investments. Through Finitive, institutional investors access a multi-trillion-dollar market that encompasses a broad spectrum of non-bank lending sectors, including specialty finance, online lending, marketplace lending, and private credit funds. Finitive’s originator partners gain efficient access to a global network of investors who are actively allocating to alternative lending. All regulated activities are conducted through North Capital Private Securities, a registered broker-dealer and member FINRA/SIPC. For additional information, please visit Finitive’s website at www.finitive.com.