Klarna acquires BillPay

Klarna acquires BillPay

Sweden-based payments provider Klarna has acquired a fellow payments company in Germany, BillPay.

BillPay is based in Berlin, has 140 employees and provides payments products and services to German, Austrian, Swiss and Dutch markets. The company was founded in 2009. It says more than 5,000 online shops and 12 million customers are on its customer list.

Klarna is understood to be paying £60 million to BillPay’s current owner, UK payday lender Wonga, for the company.

Sebastian Siemiatkowski, co-founder and CEO of Klarna, says Germany is “one of the largest e-commerce markets in the world”.

The acquisition is subject to approval by the Federal Financial Supervisory Authority in Germany.

Klarna works with 65,000 merchants and 45 million consumers in 18 countries in Europe and North America. It has 1,500 employees.

In late 2016, Klarna acquired the assets and staff of Cookies, a failed a peer-to-peer (P2P) payment start-up in Germany.