Surprisingly, double digit leap in the fortunes of some previously beat down companies could not position FinTech IPO index positively this past week.
The overall index dipped by 5.5% in the past five sessions pegging it at 46.6% lower for the year.
Even though company specific news was scarce this past week, the season of earning switched to full gear. This will help to make accurate projections about consumer spending. It will also clarify records of any BNPL, the buy now, pay later lending to embedded payments to digital banking integration.
Notable Gainers
9F Group is amongst the well pronounced gainers as it advanced by 56.3%. This progression is becoming a custom recently as it courses through the 180 days period to comply with Nasdaq listing rules.
Popular personal loan a d auto refinance company Payoneer received a 7.5% boost as leveraged on the recent announcement of its share getting listed as part of the firms trading in the S&P SmallCap 600.
The market gains overshadows the opposite experience by such names as KE Holdings which saw its fortunes go down by 21.4%. There is a deliberation around housing transactions including its associated services. There is also a concern about China’s economy and how it may have influenced a negative bias on investors this past week.
Notable Losers
BILL, formerly known as bill.com went down by 18% as the company continues to go through a rebranding.
Nubank, Brazilian FinTech went down by 17% in the course of the week. The Central Bank of Brazil (BCB) is poised to cap prepaid card’s interchange fees from April 2023. The financial regulator will ask standardize the settlement terms for every prepaid card and debit card transaction. The direction is to pegging the interchange fees for debit cards at 0.7%.
According to the BCB, the recent adjustments will “increase the efficiency of the payments ecosystem, encourage the use of cheaper payment instruments, enabling the reduction of costs for stores to accept these cards.” The revenue contribution of Nubank from interchange was 7% of the consolidated top line.
Another FinTech, OneConnect dipped by14%. During the past week the technology firm unveiled OneConnect Smart Technology in the United Arab Emirates (UAE) at the Abu Dhabi Global Market.
Nuvei lost 11%. Italian operator Lattomatica is repositioning its digital services and collaborating with the payment technology giant to give out faster payments to customers. This new offerings allows Lattomatica manage an expanded payment and withdrawal options. Going by this collaborative announcement from Nuvei and Lattomatica, Nuvei adopts a smart transaction routing to effectively lower the costs and raise the rates of card acceptance.
As originally reported in (https://www.pymnts.com/news/ipo/2022/fintech-ipo-index-down-5-5-as-3q-earnings-roll-out/)
