Paidy Announces US$55 Million Series C Funding from ITOCHU and Goldman Sachs

Paidy
– The instantly issued post-pay credit account linked to
mobile phone number company, Paidy Inc. (“Paidy”) has announced a Series
C funding round of US$55 million. The investment is being led by ITOCHU
Corporation, with participation from Goldman Sachs. Combined with two
previous rounds (Series A and B), this increases the total amount of
capital raised by Paidy to US$80 million.

Paidy started Japan’s first instant post-pay credit service for
ecommerce consumers in October 2014. Paidy requires no pre-registration
or credit card to use; Paidy consumers purchase products online using
only a mobile phone number and email address (verification is
established through a four-digit code via SMS or voice pin-code) and
settle a single monthly bill for all their purchases, either at a
convenience store, by bank transfer or auto debit. Paidy also supports
multi-pay installments and subscriptions. There are currently over
1,400,000 Paidy accounts in use (June 2018).

Paidy has proved a powerful means of persuading first time buyers to
transact online. Its proprietary models and machine learning mean that
transactions are underwritten in seconds, with guaranteed payment to
merchants. Paidy increases merchant revenues by reducing incomplete
transactions, increasing conversion rates, boosting average order
values, and facilitating easy repeat buying.

Going forward, through the launches of large merchants, expansion into
the offline market, and offering of additional financial services, Paidy
expects to grow its customer base to 11,000,000 accounts by 2020.

Russell Cummer, Founder and Executive Chairman of Paidy said: “We are
extremely honored that Paidy’s business concept was highly valued by one
of Japan’s most prestigious business conglomerates, ITOCHU. Through this
tie-up, we expect to launch new merchants in order to deliver Paidy’s
frictionless and intuitive financial solution to a much broader
audience. Furthermore, by adding new payment functions and diverse
financial services, thereby making our customer attachments much more
robust, we aim to promote our vision of removing barriers and creating
unique consumer experiences to as many people as possible.”

About Paidy Inc.

Paidy was founded with the mission to create a world of “We remove the
barriers, embrace simplicity”, offering its real-time monthly
consolidated credit service all across Japan. For more information visit www.paidy.com.

View source version on businesswire.com: https://www.businesswire.com/news/home/20180712005263/en/

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