ZoodPay, a Switzerland-based provider of buy now, pay later (BNPL) services that focus on customers in the Middle East and Central Asia, has purchased Karachi, Pakistan-based Tez Financial Services, Magnitt reported Monday (May 23).

The FinTech firm made the acquisition to serve Pakistan residents who have no access to formal credit by leveraging its digital lending ecosystem.

ZoodPay offers an app for shoppers and merchants to use in the company’s online mall.

Tez calls itself “Pakistan’s first digital financial institution.” The company is licensed in Pakistan as a “non-bank finance company” and said it operates in more than 160 cities. Tez also offers tools for users to engage in short-term investments.

Humza Hussain and Naureen Hyat, Tez’s founders, said they started the company to provide access to financial services through customers’ phones.

According to Crunchbase, ZoodPay has raised $ 48 million in venture capital in three rounds between 2019 and November 2021. Investors include Sturgeon Capital, Zain Ventures and French Partners. Tez has raised $ 1.1 million.