About This Deal

Affirm Holdings acquired Butter Holdings Ltd. for approximately $16.3 million ($14.9 million cash plus $1.5 million note settlement), a transaction completed in February 2023, structured as cash plus settlement of subordinated secured notes.

Butter Holdings Ltd. operates in International BNPL expansion, is based in United Kingdom. On February 1, 2023, Affirm completed a share purchase agreement to acquire the entire issued share capital of Butter Holdings Ltd., a buy-now-pay-later company based in the United Kingdom. Consideration was approximately $16.3 million, comprising $14.9 million in cash (subject to adjustment) and $1.5 million to settle subordinated secured notes. The deal was accounted for as a business combination, with the excess purchase price over identifiable assets assigned to goodwill attributed to future integration synergies.

The acquisition extended Affirm's model to the United Kingdom by buying an established local BNPL operator, mirroring the geographic-entry approach used with PayBright in Canada. Goodwill was attributed primarily to expected synergies from integration.

Deal Terms

Acquirer
Affirm Holdings
Target
Butter Holdings Ltd.
Value
Approximately $16.3 million ($14.9 million cash plus $1.5 million note settlement)
Date
February 2023
Type
Full acquisition
Status
Ready

Transaction Details

Target HQ
United Kingdom
Segment
International BNPL expansion
Structure
Cash plus settlement of subordinated secured notes
Announced
February 1, 2023
Closed
February 1, 2023

Advisors

Advisory firms were not disclosed for this transaction.

Related Deals & Entities

Sources: Press release ↗

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