(Image: AAP/Derek Rose)

The soaring buy-now-pay-later firm Afterpay may be capitalised at almost $8 billion, but controversy continues to follow the company -- and its Sydney PR firm Cato & Clegg.

Just a month after The Australian Financial Review's Rear Window columnist Joe Aston revealed that PR heavyweight Brett Clegg was sitting on $770,000 in paper profits on some previously undisclosed Afterpay options, Clegg, a former senior publishing executive at both Fairfax and News Corp, has parted ways with his boss Sue Cato.

Rear Window revealed the news last night, with an official announcement expected shortly.