PayPal Holdings, Inc. (Nasdaq: PyPL) and alternative asset manager Blue Owl Capital Inc. (NYSE: OWL) announced a two -year agreement on Wednesday under which the funds administered by Blue Owl will buy approximately $ 7 billion purchase now, payments later (BNPL) accounts receivable originated by PayPal in the United States
According to the agreement, PayPal will continue to administer all customer -oriented activities, including subscription and service, for its US payment in 4 BNPL products.
BNPL has been a strategic component of PayPal offers since 2008, and the company launched its payment in 4 products in 2020.
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The service allows consumers to divide eligible purchases into four interestless payments for six weeks and is widely available where PayPal operates, which makes it one of the most widely distributed BNPL solutions on the market.
For merchants, BNPL offers flexible payment options that generate greater sales and integrate perfectly into the PayPal ecosystem, often at a lower cost than independent BNPL suppliers.
Worldwide, consumers who choose BNPL spend more than 80% for average transaction compared to standard brand payment.
In 2024, PayPal processed more than $ 33 billion in BNPL payment volume worldwide, marking an increase of approximately 21% of 2023.
Jamie MillerPayPal Financial and Operations Director, he said: “This is another great step forward for PayPal and in line with our Balance Sheet for Credit.”
“The PayPal scale and deep relationships with its consumers allow you to make informed decisions by extending credit through payment in 4,” he said Ivan ZinnAlternative Credit Head in Blue Owl.
The agreement is already reflected in the 2025 orientation of the third quarter of PayPal and all year for GAAP and the profits adjusted by action, as well as the dollars of adjusted transaction margin, announced on July 29, 2025.
Separate, PayPal announced plans to invest $ 100 million in the Middle East and Africa to stimulate innovation, support entrepreneurs and promote inclusive economic growth in one of the fastest growing digital trade regions.
The investment will be made through a combination of minority bets, acquisitions, funds by Paypal Ventures and the deployment of people and technology.
The initiative aims to help local companies to climb, create opportunities for innovators and expand the access of the digital economy to millions of consumers and communities.
The announcement follows the launch in April of the First Regional Center of PayPal in Dubai, which was established to provide companies with all sizes payments without problems, solid security and expanded access to global markets.
(Tagstotranslate) Paypal (T) Blue Owl (T) BNPL
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