An already busy week in the buy-now, pay-later (BNPL) market got even busier Tuesday after a report indicated that Apple Inc. plans to work with Affirm Holdings Inc. on an installment offering for those looking to buy various Apple devices in Canada.
Affirm shares AFRM, +3.03% gained 3% in Tuesday trading and were up another 2.7% in the extended session following the Bloomberg report, which comes a day after Affirm shares rocketed 14.6% on the news that Square Inc. SQ, -1.06% planned to acquire BNPL rival Afterpay Ltd. AFTPY, -0.73% APT, -0.92% in a $29 billion deal that valued Afterpay at a 31% premium to its prior close. The announcement helped bake a merger premium into Affirm’s stock, noted an analyst.
The Bloomberg report indicated that Apple AAPL, +1.26% will be working with PayBright, a Canadian BNPL company acquired by Affirm, on the installment option, which will let people pay for devices like iPhones over 12 to 24 months. The offering will be interest-free for a limited time after it launches on Aug. 11, per the report.
Apple didn’t respond to MarketWatch’s request for comment on the plans. A spokesperson for Affirm declined to comment.
