Swedish banking group Swedbank AB completed the 100% acquisition of Estonian fintech company Paywerk. By agreement of the parties, the value of the transaction will not be disclosed.

Paywerk, a cross-border BNPL e-commerce platform company, was founded in 2021 by entrepreneurs Jan Andresoo, Priit Põldoja, Erkki Saarniit, Rain Pikand, Jaak Erm, and Estonian fintech company Inbank. As part of the transaction, Inbank AS subsidiary, Inbank Ventures OÜ, sold its entire 21% stake in Paywerk to Swedbank AB.

“Paywerk created unique technology and a product, but building a distribution network proved to be complex and expensive. Paywerk’s independent growth strategy was very capital-intensive, and we couldn’t find an investor to support such a strategy in the current interest rate environment. This is why I’m very pleased that Swedbank’s investment allows Paywerk’s technology to take off,” explained Paywerk founder and CEO Jan Andresoo about the sale.

Swedbank is adopting fintech start-up´s technology

Priit Põldoja, Chairman of the Board and CEO of Inbank, says he is glad to see how a large bank with its own infrastructure is adopting financial start-up technology to offer customers new payment methods. “I hope this becomes a broader trend in banking and creates a new business architecture that favors such synergies,” added Põldoja.

Paywerk’s BNPL payment solutions have been specifically created for e-shops. Paywerk connects European e-shops and banks, creating fast, secure, and fun shopping for customers in Europe. Company´s products increase the average shopping cart value, and they increase conversion. They are cross-border, they enjoy a higher approval rate thanks to multiple financiers, and are free for shoppers.

The roles of Paywerk Management Board member Jan Andresoo and Supervisory Board members Priit Põldoja, Raino Paron, and Marko Varik will conclude with the completion of the transaction.

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