Splitit Payments, an Australia-based global monthly installment payments solution, has raised $30 million AUD ($20.7 million USD) in a funding round. The company is hoping to raise up to an additional $10 million AUD ($6.9 million USD) by offering 12.5 million shares to certain eligible shareholders in a share purchase plan.
Proceeds from the fundraising round will be used to increase capacity to meet the current excess demand for Splitit products. This will accelerate the solution provider’s market penetration and new product development, helping the company expand at a faster rate than anticipated during its January IPO.
Splitit currently works with hundreds of merchants in 27 countries to offer shoppers interest- and fee-free installment payments. Alternative payment systems are popular among younger shoppers, who are less likely to have access to credit cards than older consumers.