Business

Buy now pay later Splitit signs with Kogan

Buy now pay later service Splitit has made Kogan its first major Australian retail partner. (AAP)

Splitit has made Kogan its first major Australian retail partner, allowing customers to pay for goods in instalments.

Buy-now, pay-later service Splitit has signed Kogan as its first major Australian retail partner.

Splitit said on Monday its service will be available on Kogan.com in "the coming days", which will allow customers to pay for items in instalments.

"We are seeing strong interest from major retailers around the world in offering our unique payment solution to their customers," said Gil Don, chief executive of the New York-based firm.

Mr Don said the relationship with Kogan aligned with Splitit's strategic vision of partnering with Australia's largest retailers.

Kogan.com founder Ruslan Kogan said the deal would provide customers with greater flexibility.

"We are excited to be able to offer Splitit's innovative solution to our customers in Australia," Mr Kogan said.

Kogan.com announced last week it would be adding electricity and gas supply to its portfolio of consumer services that also includes retail, mobile communications, home internet, insurance, super and travel.

Monday's announcement sent Kogan shares up by as much as six per cent, but Splitit headed in the other direction along with buy now, pay later peer Afterpay.

At 1505 AEST, Kogan shares were still 4.42 per cent higher at $4.96, while Splitit was 4.76 per cent lower at 60 cents.

Splitit shares are down more than 60 per cent from a March peak of $1.62.

The company listed on the ASX in January to join a burgeoning buy now, pay later industry including the likes of Afterpay and Zip.

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