Mastercard and American Express among investors backing the company to deliver on its vision of becoming the world’s largest platform for consumer finance
Divido, the consumer finance platform for retailers, lenders and payment intermediaries, today announces a $15 million USD Series A raise led by Dawn Capital and DN Capital, with additional participation from Mastercard, American Express Ventures and previous investors.
The Divido board has also appointed Renier Lemmens as chairman. Mr. Lemmens has previously served as Chief Executive Officer of PayPal EMEA and Chief Operating Officer of the International Retail & Commercial Banking Division of Barclays.
Divido is today available through over 1,000 partners that are offering B2C and B2B finance to their customers at the checkout. Divido provides customers with the ability to spread the cost of any product or service over a period of time by providing instant access to credit at the moment of purchase, online and in-store. This leads to up to 20% more sales for retailers, more lending for banks and more transactions for payment intermediaries. What makes Divido unique is that the platform is quick to integrate with, works in multiple markets and with multiple lenders. Clients include names like Mercedes-Benz, BNP Paribas and Shopify. Divido is already on track to process its first $1 billion USD worth of credit applications in 2019, sending it well on its way to deliver on its vision of becoming the world’s largest platform for point of sale finance.
The injection of capital allows Divido to continue its global expansion. The company’s platform is currently available in the UK, Germany, France, Spain, Italy, the Nordics and the United States. Plans are currently underway to expand to 10 more countries by the end of 2019.
Eric Christensen, Vice President of Product at Digital River, a global provider of e-commerce solutions for retailers and Divido clients said, “Consumers are increasingly looking for flexibility and control over how they pay, particularly for high-ticket items. We look forward to continuing our partnership with Divido, and giving our global clients, including HTC and Lenovo, the ability to offer a new payment option that can help them increase customer loyalty and reach a larger customer demographic.”
Christer Holloman, CEO of Divido, said, “Proactive retailers know they have to try new initiatives to grow sales. Offering customers the option to pay later doesn’t just increase footfall and eyeballs, but it also raises average order values and conversion rates. And what’s good for the retailers is also good for the lenders who are providing this credit, and the intermediaries that facilitate the transactions.”
Working alongside Divido, Mastercard is a key investor in Divido’s Series A funding. As Zahir Khoja, Senior Vice President, Global Acceptance at Mastercard explained, “By providing people with financing choices to suit their lifestyle, along with a simple experience when it comes to paying, people can enjoy shopping more easily. Staying ahead, and continuously being able to bring consumers digital financing options will require collaboration and co-creation with newer entrants like Divido.”
Julia Huang, Managing Director of Amex Ventures, the strategic investment group of American Express, said, “Supporting fintech start-ups that can help businesses gain more customers and complete more sales is a key mission for American Express. We are excited to back Divido as it works to bring its innovative financing platform to more merchants around the globe.”