European BNPL Firm Scalapay Raises $155M

Scalapay has raised $155 million in equity during a Series A funding round, the Irish buy now, pay later (BNPL) company reported on Thursday (Sept. 9).

The company said the funding round — which led by Tiger Global, with participation from Baleen Capital and Woodson Capital — will help it expand its team and operations, scale internationally and launch new products to support merchants in the fashion, retail and travel sectors.

Founded in 2019 by Simone Mancini and Johnny Mitrevski, the company has since expanded its services throughout Europe, providing BNPL offerings to merchants and customers in Italy, France, Germany, Spain, Portugal, Finland, Belgium, the Netherlands and Austria.

Read more: Ireland’s Scalapay Raises $48M for BNPL Services Expansion

The company says it has worked with more than 3,000 merchants, making it one of the most popular payment methods in southern Europe. It is also the payment solution with the highest customer satisfaction rating on the consumer review website Trustpilot.

“We are giving customers the ability to enjoy the small pleasures in life without needing to compromise: a favorite fragrance, dress or romantic weekend,” Mancini said. “This has become especially important over the past year, as many of us rethink what’s important. We want to bring the Italian concept of ‘dolce vita’ and slowing down to enjoy the small things in life to the rest of the world, via our partners.”

Scalapay allows customers to pay for the things they want by spreading payments over three interest-free installments. Customers can choose Scalapay as an option at checkout and set up an account in minutes, then pay with Visa, Mastercard, American Express or their bank account. From there, payments are deducted automatically from the customer’s preferred payment method on their due dates.

“For merchant partners, this drives new customers, increases average basket sizes by 48% [and increases] conversion at checkout by 11%,” the company says.

Scalapay’s staff size has doubled to more than 150 people since it announced its seed funding in January of this year. This new funding round brings the total raised to $203 million since the firm’s launch.