NewsBite

Chanticleer

Chanticleer

The buy now, pay later party is officially over

The staggering fall in Klarna’s valuation and the collapse of the Zip-Sezzle merger exposes a sector still hunting for a profitable, sustainable business model.

Updated
EmailLinkedInTwitterFacebook

Subscribe to gift this article

Gift 5 articles to anyone you choose each month when you subscribe.

Subscribe now

Already a subscriber?

It took less than eight hours for any last hopes of big returns from the buy now, pay later sector to be extinguished.

First, from Stockholm, came confirmation that Commonwealth Bank-backed giant Klarna had raised $US800 million ($1.2 billion) in new capital at a valuation of just $US6.7 billion – 12 months after it was valued at $US45.6 billion.

Loading...
James Thomson is senior Chanticleer columnist based in Melbourne. He was the Companies editor and editor of BRW Magazine. Connect with James on Twitter. Email James at j.thomson@afr.com
EmailLinkedInTwitterFacebook

Subscribe to gift this article

Gift 5 articles to anyone you choose each month when you subscribe.

Subscribe now

Already a subscriber?

License article

Read More

Latest In Financial services

Fetching latest articles

Most Viewed In Chanticleer

    The Australian Financial Review Magazine

    From left: Michael Schumacher, Roger Federer, Ash Barty, Mark Webber and Daniel Ricciardo have all been in “commercial marriages” with watch brands.

    BOSS Financial Review

    Kim Feitelberg established her haircare company, HairShots, in early 2023.

    Life & Leisure

    Rich List

    Nick Andrianakos, pictured in Greece’s Nafplio, where he had been building a hotel.

    Original URL: https://www.afr.com/chanticleer/the-buy-now-pay-later-party-is-officially-over-20220712-p5b0zu