US-based consumer finance platform developer Divido has secured $15m in a series A round featuring payment services firms Mastercard and American Express, the latter through its American Express Ventures unit.
Venture capital firms Dawn Capital and DN Capital co-led the round, which included contributions from undisclosed existing investors. Mangrove Capital Partners had led a $3.3m seed round for the company in September 2016 that included DN Capital.
Divido has created a software platform that allows any business to offer instant consumer finance at the point of sale, meaning merchants receive immediate payment for products that customers can pay for in instalments over an extended period.
The company is currently present in the UK, US, Germany, France, Spain, Italy and the Nordics region, but intends to use the funding to enter 10 more markets by the end of next year.
Zahir Khoja, Mastercard’s senior vice-president of global acceptance, said: “By providing people with financing choices to suit their lifestyle, along with a simple experience when it comes to paying, people can enjoy shopping more easily.
“Staying ahead, and continuously being able to bring consumers digital financing options will require collaboration and co-creation with newer entrants like Divido.”
