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.
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