Splitit gains new partnerships in North America
The share price for ASX payments company Splitit could rise on new partnerships across diverse sectors in the North American market. Splitit has also reduced funding costs despite rising interest rates.
ASX-listed fintech company Splitit could see its share price rise on partnerships to provide its instalment payments services to companies in the telecommunications and rental property sectors. The agreements have the potential to expand Splitit’s Installments-as-a-Service (IaaS) business model as a subset of the buy-now-pay-later (BNPL) market.
Telispire integrates Splitit platformUS telecommunications company
Telispire has announced that it is integrating Splitit’s IaaS platform into its PHOENIX back office and billing system. The move will enable Telispire’s Mobile Virtual Network Operator (MVNO) customers to conveniently provide instalment payment services to their subscribers.
The Splitit platform will be embedded into existing purchase procedures and will give customers the flexibility of choosing which products and product categories feature instalment payments.
Telispire enables MVNO customers to offer wireless products and services to customers using turnkey private label solutions. These products can include provisioning, billing, eCommerce, fulfilment and customer support.
Telispire COO Craig Andrew explained what the adoption of Splitit’s IaaS model means for its customers.
‘Splitit’s white-label installments gives [sic] us a valuable tool to offer our resellers that puts them on a more equal footing with larger competitors without having to manage the technical integration’, Andrew said.
‘The growth of 5G has many looking to upgrade devices, giving MVNOs a simple option to offer subscribers a great way to pay over time without the complexity of traditional financing options.'
Splitit CEO Nandan Sheth said the partnership will expand the fintech company’s access to retailers undergoing rapid growth.
‘Their clients will have zero implementation burden, and Splitit benefits from distribution to many fast-growing retailers through a single connection to PHOENIX.’
Splitit brings IaaS model to property sector
Splitit’s business model allows consumers to access instalment payment services using their existing credit cards. According to Splitit, this ‘white label’ payment solution sets it apart from other BNPL providers on the market.
The flexibility of its payment solution has enabled the company to expand into a diverse range of industries. In addition to the telecommunications sector, Splitit is also offering its IaaS option to the property rental market.
At the start of August, Splitit announced that Canadian fintech company letus (formerly known as RentMoola) had chosen to integrate Splitit’s IaaS platform into its service offerings.
letus operates a cloud-based payments platform that caters specifically to the needs of the property sector. The platform streamlines both the payment of rent by tenants and the collection of rent by property managers.
Jean-Francois Brissot, CEO of letus, said the partnership with Splitit would further enhance its services.
‘Splitit helps us reach our objective to bring innovative technology and tools to alleviate some of the biggest hurdles for tenants and property managers alike,’ Brissot said.
'The ability to integrate Splitit’s white-label solution into our platform ensures a seamless and simple experience helping foster a stronger relationship between tenants and landlords.'
Splitit achieves interest rate reduction
Splitit has seen improvements to its funding conditions thanks to amendments to its agreement with bulge bracket Wall Street bank Goldman Sachs.
On 2 August, Splitit announced that it had amended its existing $150 million receivables funding facility with Goldman Sachs to reduce the interest payable by Splitit in the range of 15% to 20%, on the condition of achieving certain volumes.
Splitit said that the improved commercial terms would make it more competitive internationally and help to drive its global expansion, especially in an environment of rising interest rates.
Take your position on over 13,000 local and international shares via CFDs or share trading – all at your fingertips on our award-winning platform.* Learn more about share CFDs or shares trading with us, or open an account to get started today.
* Winner of ‘Best Multi-Platform Provider’ at ADVFN International Finance Awards 2022.
This information has been prepared by IG, a trading name of IG Australia Pty Ltd. In addition to the disclaimer below, the material on this page does not contain a record of our trading prices, or an offer of, or solicitation for, a transaction in any financial instrument. IG accepts no responsibility for any use that may be made of these comments and for any consequences that result. No representation or warranty is given as to the accuracy or completeness of this information. Consequently any person acting on it does so entirely at their own risk. Any research provided does not have regard to the specific investment objectives, financial situation and needs of any specific person who may receive it. It has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such is considered to be a marketing communication. Although we are not specifically constrained from dealing ahead of our recommendations we do not seek to take advantage of them before they are provided to our clients.
Seize a share opportunity today
Go long or short on thousands of international stocks.
- Increase your market exposure with leverage
- Get commission from just 0.08% on major global shares
- Trade CFDs straight into order books with direct market access
Live prices on most popular markets
- Forex
- Shares
- Indices
