- iSignthis has been rated a “prime” investment by global investment firm Institutional Shareholder Services
- This rating is a vote of confidence for iSignthis as the firm reviewed its environment, social, and governance performance
- Today’s news could help satisfy two months of ASX questioning and unlock iSignthis’ shares from a forced trading halt
- The company has also restructured its tech support team to be more efficient and responsive
- Shares in iSignthis last traded in early October for $1.07 each
iSignthis has officially been given “prime” status by global investment firm Institutional Shareholder Services (ISS).
Shares in iSignthis may be locked up by the Australian Securities Exchange, but the secure payments business is working hard to make sure punters flock to grab a chunk of shares as soon as they’re released.
ISX primed for investment
ISS ESG is the responsible investment arm of ISS and uses over 100 sector-specific criteria to rate different investment opportunities.
According to iSignthis, “prime” rating is awarded to companies with an overall environment, social, and governance (ESG) performance higher than the sector-specific threshold. Essentially, being given this rating from ISS ESG is a vote of confidence for iSignthis.
The news is a breath of fresh air for company management after two months of ASX questioning which has left iSignthis shares in a forced trading halt.
Company CEO John Karantzis touted the quality of the iSignthis team after today’s review from the investment firm.
“Every aspect of our business, from our disclosures to the way we do business has been examined and it is a credit to the iSignthis team that we have been given this ‘Prime’ rating,” John said.
Tech team restructure
iSignthis announced yesterday it is revamping its tech services by combining the technical teams from subsidiary groups iSignthis eMoney, Authenticate, and Probanx Solutions.
The merged team will take on the Probanx Solutions name and operate as a separate business unit under the direction of iSignthis’ Chief Technology Officer, Michael Andrewes.
With iSignthis’ total staff increasing 75 per cent over 12 months, the company said it expects this merger of tech services to bring about greater company efficiency and responsiveness for clients.
Shares in limbo
The ASX is yet to release its thoughts on iSignthis’ latest response to ASX and ASIC queries, but today’s endorsement from ISS ESG could help satisfy the scepticism from the stock exchange.
iSignthis shares last traded on October 1, 2019, and were worth $1.07 cents each at the time.
An AML/CTF opportunity
The past week has seen Australia’s big banks come under fire from AUSTRAC, with the anti-money laundering watchdog launching civil action against Westpac just yesterday for serious breaches of anti-money laundering (AML) and counter-terrorism financing (CTF) laws.
National Australia Bank expects similar treatment, claiming it could face some serious legal penalties for breaching the same laws. Commonwealth Bank copped a $700 million fine for the same breaches last year.
While this is heavy news for the banking sector, it could present a market opportunity for iSignthis.
The company’s Paydentity software combines payment authentication with proper due diligence to remotely link a customer’s identity to an electronic payment.
Pertinently, iSignthis’ website describes this service as an easy way of satisfying AML/CTF regulatory requirements.
With these laws being thrust into the spotlight after big banks ignored them, iSignthis’ services could be eyed out by other big corporations trying to avoid the same lapse in legal judgement.