It's just the beginning for Spenda!, page-8945

A few thoughts this morning:
- About not embarking customers: BNPL product has a very fast velocity. In terms of repayment but also in terms of drawdown. SPX has to make sure they have the cash to post under the DW. If they fall short, the funders can call a breach of covenants, and then it spirals down extremely fast. Given they have little cash, I think it is prudent to pause rolling out the lending offering to new clients. They can't really say that too publicly as they'd struggle to re-engage with potential clients if and when the cash situation clears up.
- Agri: They have somehow telegraphed that they will launch a new agri offering. Likely in partnership with FSCO. Now, I am not a huge fan, of either the sector from a risk point of view and FSCO as a startup. But those guys are backed by Artesian, which is a credible VC and may also help to bring funding to a dedicated DW. Something to watch out as a positive development for the SP.
- I think we are back in coin tossing land... No new client so we're basically waiting for Capricorn to save us. And maybe the Agri partnerships have some legs. I think that AF would love to give us (the negative guys here...) the finger and pump the SP such that the options can be in the money. Timing is very short here, and optimal time for big announcements is within this quarter.
- Either that or... bye bye. So mind the gap!