Sunbit, a fast-growing Buy Now, Pay Later (BNPL) fintech, closed $355 million in its debt warehouse facility. The financial heavyweight JP Morgan, Mizuho Bank Ltd., and Waterfall Asset Management in a new agreement represents another step forward for the company.
A Strong Start to 2024
This is Sunbit’s second 2024 term ABS facility, after closing a $310-million deal in January with Citi and Ares Management. This most recent agreement looks to take that prospect forward for Sunbit in what will be crucial to scaling the competition position of its point-of-sale (POS) lending technology.
Expanding Market Reach
Sunbit, launched in 2016, provides a no-fee credit card and flexible BNPL for more than over 25K service locations. The company, which has a well-established pedigree in serving 2.6 million loan customers and handling close to $1 billion worth of annual merchant transactions is seeing increased traction as the market for alternative lending becomes more competitive.
Sunbit Takes Off in 2024
Meanwhile, Sunbit has further accelerated its picking up the competitive slack in 20224 with some significant partnerships. The fintech also entered the auto service sector and struck an integration partnership with payments giant Stripe. Three more retailers chose its credit card platform for their store cards, underscoring it as the dominant type in this popular niche.
What JP Morgan is Getting Right
In the last 12 months, JP Morgan has been front and center in several high-profile rounds including a £4 billion deal with YouLend for example, or more recently $65 million investment into B2B payments platform Slope. The fact that GGV still supports Sunbit is a testament to the BNPL system and where the market leader is.
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