FinTech Daily News – Edition 168, 13.03.2018
March 13, 2018
FinTech Daily News – Edition 170, 15.03.2018
March 15, 2018

FinTech Daily News – Edition 169, 14.03.2018

Deals & Investments

Qudian’s CEO Min Luo On Q4 2017 Results – Earnings Call Transcript

Seeking Alpha (press release)

Qudian Reports Strong Numbers, But Stock Remains Weak

Peter H. Frank – Capital Watch

Qudian CEO Gives Up Pay Check After Stock Price Collapse

Jason Booth – China Money Network

Min Luo, founder and CEO of Chinese online consumer lending firm Qudian Inc. says he will not receive a salary or bonus until his company reached a market capitalization of US$100 billion. The NYSE-traded company currently has a market capitalization of US$5.54 billion, after falling nearly 50% from it initial public offering in October.

DNT: Min Luo tries hardly to build a positive image for Qudian, after he was not very inspired in the recent past. For instance, in the sensitive period following the October listing of Qudian at NYSE, when the company’s stock price tumbled more than 50%, Luo turned away media interviews, but later, in January, Qudian CEO expressed his ‘regret’ over his media silence (details here, Analysis section). Even the Qudian results are pretty good (the revenue for Q4 more than doubled compared with a year earlier to $229.2 million from $110.1 million) the share price is still low and looks like that  Min Luo tries to gain some credibility with this statement.

Tandem Acquires Money Management App Pariti

Steve O’Hear -TechCrunch

Tandem Bank To Buy Pariti In UK Fintech Tie-Up

Nicholas Megaw –  Financial Times (subscription)

Digital bank Tandem has agreed to buy fellow British fintech group Pariti, as it looks to head off rising competition from established lenders taking advantage of new legislation that gives them greater access to customer data.

DNT: The effects of the PSD2 are starting to appear. In a good way. Small banks like Tandem have the chance to compete with the big ones.

Ant Financial Enters Pakistan Through Telenor Deal

Finextra

China’s Ant Financial Makes Foray Into Pakistan Through Telenor Deal

Farhan Bokhari – Financial Times (subscription)

Telenor Group, the Norwegian telecom giant and Ant Financial Services announced a ‘strategic partnership’ that will see Ant invest $184.5m in Pakistan’s Telenor Microfinance Bank a subsidiary of Telenor. The investment, which is the first by Ant in the south Asian country, will oversee investments in further developing TMB’s mobile payment and digital financial services.

FAO: General Ma’s Ant army reaches Pakistan. Another country “checked” in the region. If you think there is somebody, or something, that can stop Chinese payments companies taking over the entire Asian continent you are wrong. Better get things im place. They are already looking West…

Sequoia-Backed Payments Firm Pine Labs Raises $82 Mn From Actis, Altimeter

Business Standard

Pine Labs, which runs a digital retail payments platform in India, announced a funding of $82 million (Rs 5.34 billion) led by private equity firm Actis Capital and joined by new investor Altimeter Capital. It is not clear if Sequoia Capital, which backed Pine Labs in 2009, partially exited the firm.

Future Stars?

Have an interesting project/company looking for more visibility? Why don’t you send us more details, and after our review your project might get listed it in this section! Contact us HERE!

Payments

Azimo Opens New Money Transfer Service To China

Finextra

Azimo has launched an improved service for transfers to China.Customers will now be able to send money from 24 countries in Europe to individual bank accounts in China, delivered in local currency.

Lending

New Media Announces Strategic Alliance With Kabbage

Business Wire (press release)

New Media Investment Group announced that it has entered into an agreement with Kabbage. This alliance is intended to bring awareness of simple access to working capital through Kabbage’s fully automated online lending platform to more than five million small small and medium sized businesses (SMBs) that do business in New Media’s markets.

DNT: It has become almost a habit for Kabbage to announce strategic partnerships from time to time. One of them is the partnership with ING to expand automated small business lending into France and Italy – details here, Lending section.

BBVA Compass’ Express Personal Loans Go Digital & Is Now Available to Consumers In Multiple

Samantha Hurst – Crowdfund Insider

BBVA Compass, the U.S. subsidiary of the global financial services group BBVA, announced it is now offering near-instantaneous decisioning and potential same day funding for both customers and non-customers with the footprint wide opening of the fully digital BBVA Compass Express Personal Loan.

Grab Expands Into Lending In Southeast Asia Via New Venture

Aradhana Aravindan & Anshuman Daga – Reuters

Grab has teamed up with Credit Saison to provide loans and lending services in the region, marking the ride-hailing firm’s biggest expansion into financial services. Their new joint venture firm, Grab Financial Services Asia, will offer micro-financing products and leverage Grab’s network of millions of consumers and small businesses as well as data on consumer behavior, blending it with Credit Saison’s expertise in credit analysis and consumer lending.

Wealth & Personal Finance

Credit Karma Pays $160,000 Penalty Following SEC Charges Of Unlawfully Offered Securities to Employees

JD Alois – Crowdfund Insider

The Securities and Exchange Commission slapped the wrist of Credit Karma with a $160,000 penalty. The SEC said the San Francisco-based fintech has agreed to settle charges that it unlawfully offered securities to its employees and failed to provide them with timely financial statements and risk disclosures.

Data Centers

Equinix Enhances Its Global Platform With New Cloud Security Service To Manage Encryption Keys

PR Newswire

Equinix announced the launch of Equinix SmartKeyTM, a global key management and encryption Software as a Service offering that simplifies data protection across any cloud or destination.

Cap Markets & Other

Singapore Is Flexing Its Fintech Muscles

Maria Terekhova – Business Insider

Singapore Exchange has announced two new measures designed to make the city more attractive to technology companies, including fintechs. Among them, the proposing to allow companies listing on it to issue dual-class shares, a structure preferred by tech companies’ founders, as it lets them keep control of the entity after taking it public.

FAO: SGX follows HKEX path. Can’t afford to lose listings business. But really, what are the underlying costs of actions like these? Check our FREE ARCHIVE for more on the dual-class structure.

Denmark’s Saxo Bank Sees White-Label Partnerships As  Main Growth Driver In Asia

Georgina Lee – SCMP

Saxo Capital Markets said it is expecting more partnership with brokers and fintech firms as it strives to grow its technology white-label business in the region.Providers of white-label trading technology such as Saxo Bank allow third parties access to its trading technologies and systems, which the purchaser can make it appear as their own.

FinTech People

Via Business insider – Jamie Selway, formerly US head of execution services at ITG, announced his departure from the company.

Via Investor Daily – Fidelity hires Macquarie head of research Richard Dinham to head client solutions and retirement.

Goldman Names David Solomon As Next In Line To Replace CEO Blankfein

Dakin Campbell – Yahoo Finance

Lloyd Blankfein was about to bet the future of Goldman Sachs.

Blankfein had gathered with the Goldman Sachs. board to reveal his long-awaited recommendation for the bank’s next CEO — the one who would steer the Wall Street giant through the next phase of its 149-year history.

His pick: David Solomon.

Latest Developments & Agreements

Fidessa Launches BlockShadow Service For Dark Pool Trading

Reshef Mashraky – Finance Magnates

Fidessa has announced the launch of its new BlockShadow service, aimed at placing orders across various venues simultaneously, including dark markets. The service aims to provide access to conditional venues simultaneously, improving execution of orders across several venues.

Regulation

Indonesia Eyes Fintech Regulation To Avoid ‘Loan Shark-Like’ Practices

Reuters Staff – Reuters

Indonesia’s financial regulator said it was considering setting a cap on interest rates and the size of loans offered by fintech firms, in a move aimed at minimizing the risk of defaults.

FAO: Good move. But what if the loans are in cryptocurrencies? Share your thoughts on our LINKEDIN GROUP or TELEGRAM GROUP!

Accelerators & Hubs

Will 2018 Mark A Gulf FinTech Revolution?

Matthew Summers – The Market Mogul (subscription)

By going all-in on cryptocurrencies and other emerging financial technologies, could one of the Gulf’s smaller emirates place itself at the forefront of a global industry?

DNT: It just might! As we already informed you, there are a lot of plans for building fitech hubs in the area. Qatar plans to build a fintech hub, Abu Dhabi has an interesting fintech agenda in 2018 (details hereAccelerators & Hubs section) and Bahrain’s FinTech Bay was already launched – reported here. Things are moving in a good direction in Gulf.

Events

AltFi London Summit Readies For Event This Month As UK Alternative Finance Continues To Grow

JD Alois – Crowdfund Insider

The 5th Annual London Summit is scheduled to take place on March 26th during a time of significant change in the UK

Analysis

City’s Brexit Trickle Need Not Turn Into An Exodus

Christopher Thompson – Reuters

With just over a year to go until the UK formally leaves the EU, big banks are voting with their feet. UBS, Goldman Sachs and Standard Chartered are all preparing to send more bankers to Frankfurt – ranging from around 200 to a couple of dozen employees each.

DNT: Just take a FREE tour of our ARCHIVE. We have a lot of stories on the topic, and some of them about Frankfurt’s “great weather”.

Opinion

The Insurgents: Fintechs Are Knocking Off Incumbents

Anthony Malakian – Waterstechnology  

Anthony Malakian says that in just the first two months of 2018, some big headlines are proving just how effective fintechs are at competing with the big players in the capital markets space.

 

 

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

DNT: Decebal Nicolaie Todarita, Editor FinTech Daily News