Discover is investing $30 million in buy now, pay later startup Sezzle as part of an agreement that also sees the card firm launch a BNPL service on its network.
Discover will invest $30 million into Sezzle, based on a per share purchase price of $6.58, which equates to total shares to be issued of 4,556,210.
Meanwhile, the firms have agreed to expand their existing partnership to both build a BNPL network solution on the Discover Global Network, and to roll out a dedicated referral programme to push Discover credit and debit cards to Sezzle users.
Sezzle works with more than 34,000 merchants to offer interest-free instalment payment plans to a userbase of over 2.6 million shoppers.
Charlie Youakim, CEO, Sezzle, says: "Discover’s capabilities via their network and financial products will enhance our own offerings and provide more paths to financially empower our consumers."