FinTech Daily News – Edition 155, 22.02.2018
February 22, 2018
FinTech Daily News – Edition 157, 26.02.2018
February 26, 2018

FinTech Daily News – Edition 156, 23.02.2018

FinTech Daily News

by Florin Oprea

Edition 156, 23.02.2018

Deals, Investments & M&As

Temenos Confident It Can Accelerate Sales At Fidessa

John Revill – Reuters

Temenos’s planned 1.4 billion pound ($1.95 billion) takeover of financial software peer Fidessa will enable faster sales growth at the British company, Temenos CEO David Arnott told Reuters on Thursday.

FAO: The deal was announced the other day – reported here. After activist investor Elliott Capital Advisors disclosed a near 5% stake in Fidessa, Temenos’s share price fell 4.3% on Thursday, while Fidessa’s rose to 38.30 pounds, above the cash offer price of 35.67 pounds per share. You might want to scroll down to Cap Markets section for more coverage on this deal.

Sweden-Based Fintech Anyfin Secures €4.8m

Samantha Hurst – Crowdfund Insider

Anyfin announces a €4.8m Series A investment led by Accel and Northzone.

FAO: Anyfin is a consumer credit institution launched last November. The company enables people  to refinance their existing loans.

Payments

Exclusive: India’s PNB Adopts Strict SWIFT Controls After Mega Fraud Case

Rajendra Jadhav & Krishna N. Das – Reuters

India’s state-run Punjab National Bank has stepped up its controls on the use of global payments network SWIFT following an alleged $1.77 billion fraud, according to memos issued this month.

FAO: A pertinent measure after the latest mega scandal in India’s financial markets – more about this here.

Chinese Embrace Digital Red Envelopes For Lunar New Year

Louise Lucas – Financial Times (subscription)

Hundreds of millions of people sent and received money online to friends and relatives over the lunar new year festival, as technology continues to permeate even the most ancient of traditions in China. Tencent said 768m people sent and received hongbao, the red packets stuffed with cash, over Weixin Pay, its third-party payments business, during the six-day holiday period.

Cap Markets & Other

A Bizarre Buyback

Chris Hughes – Bloomberg (subscription)

Buy high, sell low. In November, Swiss fintech company Temenos spent 150 million Swiss francs ($160 million) buying back its shares at an average price of 122 francs each. Weeks later, with the stock at 115 francs, it’s preparing to sell shares to fund a $1.9 billion takeover of British rival Fidessa.

Fidessa Succumbs, Broadcom Blinks, Brexit Techxit?

Nic Fildes – Financial Times (subscription)

Only a day after it revealed that it had been approached by Temenos about a potential £1.4bn takeover Fidessa has agreed a cash deal. Fidessa looks set to join the long list of UK technology businesses that have disappeared into the hands of foreign buyers.

FAO: Like I said the other day, probably more deals in the capital markets software space will follow in the years to come. Why? For several reasons, at least:

  • the capital markets industry is due to consolidate (i.e. more exchange M&As worldwide)
  • major exchange groups have been set to acquire small software providers and got better by the year in producing and selling their own proprietary technology (see Nasdaq, ICE, LSEG, Deutsche Borse etc.)
  • the rise in the number of cheaper alternatives provided by new fintech players in this space
  • the rise of blockchain tech uses
  • also the preps for MiFID II that led to an increase in operational costs for most of the players, like Cinnober – read below

Cinnober Posts Yearly Operating Loss Of $11.49m, Despite Improved Net Sales

Reshef Mashraky – Finance Magnates

Despite improved net sales and recurring revenues, the company recorded an operating loss of SEK 93.4 million ($11.49 million) over the course of the year. The operating loss marks a significant decline, relative to 2016’s operating profit of SEK 9.5 million.

FinTech People

Spotcap Awards First Of Its Kind Fintech Scholarship In Australia

JD Alois – Crowdfund Insider

Spotcap has announced Vishal Uppal as the winner of the Fintech Scholarship 2017. The first of its kind in Australia, a country that is a hotbed of Fintech innovation relative to its size, the scholarship awards a single aspiring graduate with an interest in Fintech $10,000 towards the cost of their tuition.

Via PRNewswire –  former Envestnet and Pershing Executive Lori Hardwick joined the Board of Riskalyze

Accelerators & Hubs

Bahrain Opens Fintech Hub

Gulf Business

Bahrain has officially launched a new fintech hub as it seeks to become the Gulf region’s centre for fintech.The launch comes following the kingdom’s unveiling of a regulatory sandbox last year to allow fintech firms to test their concepts.

DNT: Check our FREE ARCHIVE for more related content about the growing competition in fintech in the Middle East.

ASEAN’s FinTech Reputation Rubs Off On SMBs

Pymnts

China Is Pushing Its New Digital Silk Road Into Southeast Asia

Bede Moore – Financial Review

China is challenging the established Western powers with a new acumen for political and commercial expansion. The massive Belt and Road infrastructure plan is well-known. But in few places has the pace and strategy of Chinese growth been so palpable than the digital marketplaces of Southeast Asia.

FAO: I am sure you recall the intense campaign of General Ma’s armies in this part of the world. Here’s a recent link to refresh your memory – in Payments section.

Events

FAO: I am building up my agenda for 2018 – if you want me as a speaker at your events better get in touch before my year gets uber busy – send me an email here.

Analysis

Could Fintech Be Caught In Crosshairs Of US-China Trade War?

Global Trade Review

The long-anticipated trade war between the US and China looks to be underway, with the Trump administration readying global tariffs on metals imports that would disproportionately target Chinese output.

FAO: How about this pertinent answer to this question: DOOH!

Other news

Fintech Giants Race Ahead

Finews

The rapid increase of online investing options in China and India is being driven by technology players as well as investor sophistication. Further growth in these markets is likely to come from collaboration among players in the fintech space according to a report from global research and consulting firm Cerulli.

FAO: Why do I get the strange feeling that fintech players in the West don’t even know the real magnitude of what is about to come from the East…Agree or not, let’s chat on  LINKEDIN GROUP or TELEGRAM GROUP!

 

FAO: Florin Adrian Oprea, Editor-in-chief FinTech Daily News

DNT: Decebal Nicolaie Todarita, Editor FinTech Daily News