Klarna has signed an agreement to acquire Italian payment company Moneymour from its founders and minority stakeholders.
Founded in 2017, Moneymour offers `buy now, pay later’ scheme that allows customers to split purchases in monthly instalments.
The Italian firm utilises a PSD2-powered credit scoring engine to carry out an instant credit assessment of the customers.
The acquisition is expected to bolster Klarna’s underwriting capabilities and support the launch of its product development hub in Milan.
Additionally, Klarna plans to utilise Moneymour capabilities across all operating markets to improve shopping experience for consumers.
As agreed, all Moneymour staff will migrate into Klarna.
Klarna CTO Koen Köppen said: “We’re impressed with what the Moneymour team has achieved so far, and we are also happy to now progress the establishment of our new product development hub in Milan.
“The talented team has developed an interesting offering for the Italian market, and with their knowledge and expertise we can further strengthen our underwriting capabilities in the market.
“Under the Klarna umbrella, we will together further develop the proposition and scale this across markets, which will support in accelerating growth.”
The transaction is expected to close in this quarter, following which, Moneymour will integrate into Klarna.
Currently, Klarna powers more than 200,000 retailers globally. Earlier this month, the Swedish firm expanded to Australia by launching its shopping app.
It has also launched a Consumer Council recently to enable consumers share their opinion on Klarna’s services.