Ann: Quarterly Report (Appendix 4C), page-81

Spt is nowhere near apt however they are innovating and trying to build up their niche in the big ticket without taking any risk. Other BNPL will not be able to follow spt because it defeats their whole philosophy of small ticket unsecured space. Even if someone wants to follow in the big ticket space they would need huge funding requirement which will take a very long time to reach there.

Apt has started eating up its own words by increasing the limit to $ 2,000 at a time when any prudent lender would love to go slow during there trying times. I have a feeling that they have already started feeling the pressure of defaults and the only way to cover up is by way of dilution because new customers are always a risk. Also now with the Chinese investments coming in it will encourage the regulators to be tough with apt.

Spt has not shown any sign of success till now but they have been able to raise money even at these trying times. Innovation will definitely lead to success in future though not at the scale of Apt, but then again they are also assuming lower risk.

Spt may not grow fast like apt but annualised Q4 MSV of $ 100 million cannot be considered a fluke.

Apt is not pursuing any rocket science and they cannot cater to the cent per cent requirement of any individual customers so there will always be some opportunities for the other players as well.

It also seems like if MSV reaches $ 500 million spt will have a chance to break even. I have always said that Apt has opened up the BNPL sector to the world and this sector is here to stay.