BNPL biz Openpay Group raising $20m; cornerstones locked Anthony...

BNPL biz Openpay Group raising $20m; cornerstones locked
Anthony Macdonald, Sarah Thompson and Kanika Sood
May 20, 2022 – 10.05am
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Listed buy-now-pay-later business Openpay Group was asking investors for fresh funds on Friday morning via Shaw and Partners.


Openpay chief executive Michael Eidel. Jeremy Piper

The raise was for $20 million but about 85 per cent of the book was covered pre-launch via cornerstone pre-commitments.

Early takers included local investment and advice firms Meydan Group and Alteris Financial, and Hong Kong conglomerate Chow Tai Fook which is best known down under for buying Alinta Energy for $4 billion-plus in an all-cash deal.

The raise was being done at a 20 per cent discount to the Openpay’s seven-day volume weighted average price.

Openpay had a $38.5 million market capitalisation. Its IPO was done at $1.60 a share in late 2019, and it last traded at 29.5¢.

Potential investors were told it would fund the path to profitability for Openpay’s Australia and New Zealand business by the 2023 financial year, and that the company would search for a capital partner to expand in the US.