I met with them just before the lockdown earlier this year.The...

I met with them just before the lockdown earlier this year.

The management were very professional and had a clear plan to focus on Malaysia first and then to move overseas. I really decided to sell as this Covid lockdown impacted their ability to roll out the business and the share price kept falling so I decided to exit.

I really believe that they have not been aggressive enough in the roll out strategy (although time will tell). There are more and more competitors arriving in Malaysia every month (and that doesn't include APT or ZIP yet!), so i just cant see how they can achieve anything like the growth and results that the shareholders are hoping for. The existing business is not profitable and is not the focus of the business going forward, so i wouldn't put any value on that at all.

On a positive note, I believe that they will be able to source debt funding rather than doing a capital raise (this is only my personal opinion and not based on any information from the company etc). All the other companies, including Octifi (just acquired by ASX:LFS) were able to get debt funding facilities to fund the loan book (i also had a call with them earlier in the year and a few other BNPL companies).

In summary, i am glad that I sold out but the share price is getting to a point where some people could be tempted to re-enter.

All the best to shareholders.