OVT (ASX) $1 Club

Originally posted by kevin103 ↑

IOU positions for PROFITS...a profitable BNPL?
Yes we would like to see that!

The company has a number of key competitive advantages as it looks to scale up its BNPL platform in the Malaysian market.
Fintech high flyer IOUpay (ASX:IOU)hascaught the market’s attention, as it looks to scale up plans for growth in its key south-east Asian markets.
The company has already had plenty of positive news flow in recent weeks,including approval from Malaysian authorities for a money lending licence,which will allow it to provide buy now pay later (BNPL) services to consumers and merchants.
That was followed by a distribution partnership with online marketplace EasyStore.
And as the company positions itself with a first-mover advantage for BNPL services in south-east Asia – led by key markets in Malaysia and Indonesia – its share price has also raced ahead.
Investors sent IOUpay shares another 59 per cent higher in Monday trade, the stocks’s third straight session with strong demand.
In light of all that,*caught up recently with chief financial officer Kenneth Kuan to discuss the near-term outlook.
While the company has plenty of momentum, Kuan said the IOU executive team is focused on a number of key operational targets in the year ahead.
The aim is to scale up a BNPL service in its core target markets that not only generates strong revenue growth, but is also profitable.
For starters, he said Malaysia is a high-potential market with a large, underbanked population and a relative lack of consumer credit services.
“So BNPL really hits this sweet spot in terms of an underserved and highly convenient facility for all forms of credit markets,” Kuan said.

Local network

While the market opportunity is large, Kuan said IOU is also focused on leveraging its competitive advantage in a region where it already has an important strategic foothold.
Khan, and other members of the executive team, already have extensive local networks in Malaysia’s banking sector.
“Across our management team, we’ve got 20 years of history with the banking sector here, and that’s definitely one of our competitive advantages,” Kuan said.
“We’re not seen as an Australian company in south-east Asia, we’re seen as a south-east Asian company.”
“But our ASX listing gives us the relevant compliance and regulatory obligations of an Australian company. And we find that’s something that appeals to the domestic banking sector here (in Malaysia),” he said.
That local network gives IOU a critical advantage in terms of both distribution and wholesale funding as it scales up the platform in the years ahead, Kuan added.

Cybersecurity compliance

Along with its strong footprint in Malaysian banking circles, IOU also had a world-class cybersecurity compliance function led by a team of experienced staff.
The company’s compliance team is led by a group of senior staff who previously worked at ipay88, a leading Malaysian payment gateway network which was acquired by Japanese conglomerate NTT Data in 2015.
For Kuan, IOU’s cybersecurity function gives the company a leading edge in terms of anti-fraud KYC (know your customer) compliance and credit risk.
“We’ve built our platform to ensure we’ll meet the relevant financial sector compliance obligations,” Kuan said.
That includes the financial guidelines issued by Malaysia’s central bank, as well as the global payment groups such as Visa and Mastercard.
“As a payment facilitator, we’ve set the company up under the same classification status as a payment gateway,” Kuan said.
“So our system is built in such a way that we will have the capacity to carry out monthly audits. Because when you roll out consumer app or merchant apps, those are the compliance measures that you have to adhere to in Malaysia,” he said.
With a strong existing network across Malaysia’s banking sector and an advanced compliance function in place, IOUpay is putting the pieces in place when it comes to a successful rollout of BNPL services in the south-east Asian market.
And as the company drives profit growth in the year ahead, investors can expect plenty of good news flow to follow up the recent momentum in IOU’s share price.
“If you look at the platform we have and the timing of our entry to the market, we have an opportunity to scale up while keeping costs down,” Kuan said.
“Getting to profitability and generating strong returns on capital invested is right at the forefront of what we’re looking to do.”

Expand

Great. looks like a paid advertisement.

No.	Vol.	Price($)
1	995909	0.4¢

No.

Vol.

Price($)

995909

0.4¢

Price($)	Vol.	No.
0.5¢	8315043	17

Price($)

Vol.

No.

0.5¢

8315043

No.	Vol.	Price($)
1	995909	0.004
15	37586329	0.003
29	22078636	0.002
18	42894390	0.001
0	0	0.000

No.

Vol.

Price($)

995909

0.004

37586329

0.003

22078636

0.002

42894390

0.001

0.000

Price($)	Vol.	No.
0.005	8315043	17
0.006	2749050	8
0.007	2255819	7
0.008	1185714	3
0.009	1400000	3

Price($)

Vol.

No.

0.005

8315043

0.006

2749050

0.007

2255819

0.008

1185714

0.009

1400000

(20min delay)
Last 0.4¢		Change 0.001(33.3%)		Mkt cap ! $6.225M

Open	High	Low	Value	Volume
0.3¢	0.4¢	0.3¢	$59.61K	15.65M

$1 Club, page-16743

HotCopper users muse on De Grey's denial of Agnico Eagle takeover bid – but who are Agnico?

ACCC seeks Olam divestments before its acquisition of Namoi Cotton can go ahead

5.6g/t gold intercept at Serbia's Rogozna supports Strickland's hopes for high-grade core

The market's shrugged at China's stimulus measures all year. Why is this one different?

The winners & losers on market if negative gearing were gone

Estrella first foreign entity to win tenements in Timor-Leste under new laws ahead of 2025 tenders

Actinogen Medical ramps up Alzheimer’s treatment trials, targeting fast-track global approvals

Zeta Resources seeks to resolve the Panoramic takeover story

4DMedical lands Philips US reseller deal with eye to Veterans Affairs' market post-lung damage

Coda Minerals (ASX:COD) enters rights issue to further exploration in South Australia

Featured News

Buyers (Bids)

Sellers (Offers)

Featured News

$1 Club, page-16743

Top Stories

HotCopper users muse on De Grey's denial of Agnico Eagle takeover bid – but who are Agnico?

ACCC seeks Olam divestments before its acquisition of Namoi Cotton can go ahead

5.6g/t gold intercept at Serbia's Rogozna supports Strickland's hopes for high-grade core

The market's shrugged at China's stimulus measures all year. Why is this one different?

The winners & losers on market if negative gearing were gone

Estrella first foreign entity to win tenements in Timor-Leste under new laws ahead of 2025 tenders

Actinogen Medical ramps up Alzheimer’s treatment trials, targeting fast-track global approvals

Zeta Resources seeks to resolve the Panoramic takeover story

4DMedical lands Philips US reseller deal with eye to Veterans Affairs' market post-lung damage

Coda Minerals (ASX:COD) enters rights issue to further exploration in South Australia

Featured News

Buyers (Bids)

Sellers (Offers)

Featured News