Buy-now-pay-later (BNPL) consumer financing network ChargeAfter has raised $44m in a Series B funding round to bolster its global merchant and lender network.
The financing, led by The Phoenix, was joined by the firm’s existing backers as well as banking giants Citi Ventures, Banco Bradesco, and Mitsubishi UFJ Financial Group (MUFG).
The round follows ChargeAfter’s strategic partnership with Visa and brings its total capital to $60m.
ChargeAfter founder and CEO Meidad Sharon said: “Investor interest in ChargeAfter is a testament to the growing need for a network-driven financing platform made for merchants, banks, and financial institutions, as the industry rapidly shifts from a single lender, low-approval reality to a multi-lender experience where responsible lending and approvals rates upwards of 85% or more are the new norm.”
ChargeAfter provides consumers with approved and personalised consumer financing from several banks through a single application.
The platform also enables retailers to offer BNPL options to their customers through both online and in-store channels.
Furthermore, the firm provides the opportunity for banks and financial lenders to expand into new retail markets and grow their customer base.
ChargeAfter also provides a white label BNPL platform for banks, acquirers, financial institutions, and other strategic partners.
The network helps retailers and businesses access financing partners across the credit spectrum. This helps them extend BNPL solutions, including split pay, card-based instalments, and long and short-term instalments, to consumers through a single integration.
Sharon said that the company will use the fresh capital to onboard additional retailers worldwide.
The Phoenix vice chairman and investment manager Boaz Morris said: “ChargeAfter’s white-labeled, multi-lender platform represents the next generation in consumer lending and enables any business to seamlessly embed diverse credit solutions in their product offering.
“We are excited to partner with ChargeAfter as they execute on their vision to unify this massive but fragmented space.”