Openpay (ASX:OPY) share price pushes higher on American Express deal

Openpay has signed a deal with AMEX…

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The Openpay Group Ltd (ASX: OPY) share price has bounced back after hitting a 52-week low on Wednesday.

In morning trade, the buy now pay later (BNPL) provider's shares are up 3% to $1.00.

Why is the Openpay share price pushing higher?

Investors have been bidding the Openpay share price higher today after it announced a new partnership.

According to the release, Openpay has signed an initial 12-month agreement with leading multinational financial services company American Express (NYSE: AXP). This will see Openpay's US business Opy accept American Express as a payment method for plans in the US.

The partnership will initially focus on the Healthcare and Automotive sectors.

Management expects the offering to deliver additional value to American Express merchants by connecting them to Opy's merchant and consumer-friendly solution. Additionally, American Express Card Members will be able to enter into Opy plans in the US and make repayments funding them via their American Express card.

The release notes that the two parties will also explore opportunities to collaborate on product development initiatives that would leverage Opy's B2C and B2B platforms.

"Thrilled"

Opy USA CEO and Openpay Global Chief Strategy Officer, Brian Shniderman, commented: "We're thrilled to be partnering with American Express, a company that helps their merchants and consumers make sound, savvy decisions. We are excited to offer our innovative products to American Express merchants and Card Members alike, particularly for larger, more meaningful life purchases."

American Express' President of Merchant Services US, Colleen Taylor, added: "We are constantly striving to drive additional value to our Card Members and merchants. With Opy, we are pleased to offer another payment option for customers who make and accept larger healthcare, auto repair, and maintenance purchases."

Despite today's gain, the Openpay share price is down 57% in 2021.

American Express is an advertising partner of The Ascent, a Motley Fool company. Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

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