Credit Clear plans ASX listing and $15 million IPO
Melbourne-based fintech Credit Clear has announced its plans to forge ahead with its plans for a $15 million initial public offering (IPO). The decision was taken as the novel Coronavirus pandemic fuels demand for technologies for the speedy recovery of unpaid bills.
Credit Clear’s $15 million IPO
Credit Clear is requesting investors to dig deep to fund its IPO and share market listing, which is estimated to value the company at about six times its historical revenue. The company is chaired by former Tyro Payments (ASX: TYR) and National Australia Bank (ASX: NAB) executive Gerd Schenkel. It is also backed by rich-listers Paul Little and Alex Waislitz. The IPO is expecting to issue 42.8 million shares at an offer price of $0.35 per share. This would imply a $79 million market capitalisation and a $64 million enterprise value.
For the 2020 financial year, the company recorded $11.2 million revenue on a proforma basis. This was up from $10.3 million in the previous corresponding period. Credit Clear expects to clear $18 million revenue in the calendar year 2020. This will be backed by a surge in demand for its services after call centres handling debt recovery in southeast Asia closed due to the pandemic. The funds raised from the IPO will enable Credit Clear to accelerate the development of its proprietary technology platform. The platform is designed to collect receivables using digital communication and billing systems. The debt recovery firm intends to hit the ASX boards later this month. It will use the ticker ‘CCR’.
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