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- In its latest business update, fintech stock flexigroup (FXL) has announced a five-year partnership with payment giant Mastercard
- Under the deal, FXL and Mastercard will work together to develop bundll — the world’s first buy now, pay anywhere platform
- That means users can ‘bundll’ their payments in manageable instalments anywhere Mastercard is accepted
- The deal is the first of its kind for humm ventures — an initiative which connects flexigroup and its buy now, pay later arm humm to local and global businesses
- In today’s announcement, flexigroup also revealed it expects its first-half cash net profit after tax to eclipse the 1H FY20 statistics
- Following the news, flexigroup shares shot up up 7.48 per cent, worth $1.15
In its latest business update, fintech flexigroup (FXL) has announced a five-year partnership with payment giant Mastercard.
Under the deal, FXL and Mastercard will work together to develop bundll — the world’s first buy now, pay anywhere platform. That means users can ‘bundll’ their payments in manageable instalments anywhere Mastercard is accepted.
bundll is created by humm, flexigroup’s buy now, pay later (BNPL) arm. To spearhead collaboration between humm and new partners, flexigroup created humm ventures — a way to link the fintech with local and global businesses.
Coincidentally, today’s announcement mark’s humm venture’s first deal.
“While there are lots of BNPL platforms around the world, this latest development for bundll is differentiated in the way it is able to partner with existing banking systems and provide BNPL technology and products without needing to sign up local retailers, while still generating a sustainable revenue stream,” Mastercard Australasia Division President Richard Wormald commented.
“With the growth of BNPL, Mastercard understands that many issuers around the world are looking to solve for this increasing consumer preference,” he continued.
Business update
Today’s announcement follows robust growth across flexigroup’s financial portfolio. Over FY21’s first quarter, the group’s buy now, pay later 30-plus day arrears reduced to 2.2 per cent, while its commercial 30-plus day arrears dropped 50 basis points to 1.6 per cent.
Based on the strong performance, flexigroup expects cash net profit after tax (NPAT) will come in higher than FY20’s first half.
Over the course of the new financial year, the fintech stock has also signed a suite of key partnerships. Some of the big names include kogan.com, Dick Smith, Amart, Snooze, and Nissan.
“flexigroup has significant technology and data expertise within its
market-leading product suite, and through humm ventures we will collaborate and partner with the world’s best technology and payments companies to realise that potential,” said flexigroup CEO Rebecca James.
“We are excited about the opportunities that humm ventures will create to expand our market and the geographies in which we operate,” she explained.
Following the news, flexigroup shares shot up 7.48 per cent, worth $1.15 at 12:45 pm AEDT.
