08:00 AM EDT, 09/24/2025 (MT Newswires) -- PayPal Holdings ( PYPL ) and Blue Owl Capital (OWL) said Wednesday that they have executed a two-year agreement under which Blue Owl-managed funds will purchase $7 billion of PayPal's ( PYPL ) "Pay in 4" buy now, pay later receivables originated in the US.

The companies said PayPal ( PYPL ) will continue to be responsible for all customer-facing activities, including underwriting and servicing, associated with its "Pay in 4" BNPL products in the US.

PayPal ( PYPL ) launched "Pay in 4" in 2020, allowing consumers to split purchases into four interest-free payments over six weeks, as part of its broader consumer financing strategy.

The transaction is already contemplated in PayPal's ( PYPL ) Q3 and 2025 outlooks for GAAP and non-GAAP earnings per share, the companies said.