Prospa float reveals a new world of online business financing
Online small business lender Prospa is set to hit the ASX on June 6 with a market capitalisation of $576 million. It’s a lofty valuation for a relatively new business lender with a net loan book of $200 million and a statutory net profit in the 2017 financial year of just $1.2 million. But the number – settled after an institutional book build for Prospa shares last Thursday – points to the aggressive growth aspirations for the Sydney-based group, which is raising $146 million in an initial public offering fully-underwritten by Macquarie Capital and UBS. In its prospectus filed with the corporate regulator on Monday morning, Prospa said it expects to originate […]
Wisr appoints Chief Operating Officer
Australian neo-lender Wisr Limited (ASX: WZR) today announced the appointment of Mathew Lu as Chief Operating Officer. Mr Lu has deep experience in the Australian unsecured consumer finance industry with 18 years experience in senior financial services and payment technology roles, including most recently with the Commonwealth Bank where he was Executive Manager for Retail and Commercial Credit Cards. In his new role at Wisr, Mathew will be responsible for operations across the business with a particular focus on the execution of innovation through technology, managing the end-to-end customer journey, and delivering on the company vision of bringing financial wellness to everyday Australians. Anthony Nantes, Chief Executive Officer Wisr said […]
Prospa books open, offer size reduced
Macquarie and UBS’s equities desks have started beating the drum for ASX-aspirant Prospa. The brokers opened Prospa’s IPO bookbuild on Thursday morning, with news the offer size had been reduced. Some of the online small business lender’s existing shareholders have cut the size of their selldown. Prospa is now seeking to raise $141 million to $147 million, according to terms sent to fund managers. The first $100 million is pegged for the company while $41 million to $47 million represents the shareholder selldown. It had initially been targeting up to $60 million for the selldown. The price was retained at $3.04 to $3.83 a share, as was the targeted market capitalisation […]
HashChing eyes white label mortgages
The mortgage marketplace has launched a crowdfunding campaign in a bid to help facilitate its growth plans, which include rolling out its own white label loans. On Tuesday (15 May), mortgage marketplace HashChing launched a crowdfunding campaign with the target of raising $5 million to fund its growth ambitions. HashChing has invited interested parties — including brokers, investors and borrowers — to invest a minimum of $250 in the mortgage platform via Sydney-based crowdfunding platform Equitise. Speaking to The Adviser, HashChing CEO Mandeep Sodhi said: “[The] company chose to raise capital via equity crowdfunding to provide an opportunity to the loyal members of the HashChing community to own a part […]
Afterpay lands in the US, keen for a slice of $3.8 trillion market
Afterpay (ASX: ATP) has taken its first steps into the United States market through a landmark deal with the parent company of consumer lifestyle brand Urban Outfitters. This week the company launched its payment plan services across the URBN network, which includes brands Anthropologie, Free People and Urban Outfitters, comprising one of the largest fashion and lifestyle retailers in the US. URBN boasts a total sales volume of US$3 billion across its bricks and mortar and digital channels, a figure equal to roughly the size of the entire Australian online fashion market. Afterpay says the US market represents a substantial opportunity for its business, as retail sales exceeded $3.8 trillion […]
FinTech Australia announce finalist for The Finnies 2018
FinTech Australia and Jobs for NSW have come together for the second year to host the national fintech awards, The Finnies. The Finnies will culminate in a Gala Awards Night Wednesday 13 June 2018 in Sydney. For more information go here. Here is the full list of finalists for the 2018 Finnies: Best Workplace Diversity ● BRICKX ● FirstStep Investments ● Link4 ● Valiant Finance Emerging FinTech Leader of the Year ● Brad Delamare – CEO, Tank Stream Labs ● Louis Edwards – Head of Renewable Energy Finance, RateSetter Australia ● Nick Molnar – Co-Founder & CEO, Afterpay ● Jack O’Reilly – Director, funding.com.au ● Rebecca Schot-Guppy – Community Manager, […]
NAB looks to challenge fintech space
The big four bank has launched an unsecured, short-term small business loan and overdraft facility through the broker channel, in a bid to go “head to head” with the growing fintech market. Launched this week, NAB QuickBiz for Broker enables brokers to digitally apply for unsecured business finance for their small business clients. Brokers will be able to offer small business clients (which have been operating for 12 months or more and make at least $100,000 per year), unsecured loans of between $5,000 and $100,000 on 12-, 24- and 36-month terms. The product comes with a 12.95 per cent fixed rate for the term of the loan, on a principal […]
Royal commission reforms boost investor opportunities in fintech
With the banks taking a battering at the Hayne royal commission, a raft of new fintech or alternative lenders is looking to take advantage of a more competitive playing field. For generations, risk-averse banks have been able to pick and choose to which consumers and small businesses they were willing to extend credit and at what price. But things are beginning to change. Ahead of any recommendations from the royal commission, the federal government is taking steps to foster competition. Last week, it followed the UK by flagging so-called open banking reforms, which will allow customers to direct personal data held by their existing banks to alternative lenders. Another reform, […]
