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Splitit to delist after securing $50m investment

Splitit to delist after securing $50m investment

Splitit, the BNPL player behind a white-label Instalments-as-a-Service platform, is planning to delist from the ASX after securing up to $50 million from Motive Partners.

The investment comprises two $25 million tranches, the first of which will invested immediately upon shareholder approval of Splitit voluntarily delisting from ASX and redomiciling from Israel to the Cayman Islands.

The second US$25 million tranche will be invested upon Splitit achieving certain 2023 full-year financial performance milestones, which the company says it is currently on track to exceed.

The cash injection will give the firm a longer capital runway as it pursues its strategy to become profitable. By partnering with Motive the company is also expecting to benefit from the fintech VC's expertise and industry network.

Meanwhile, by redomiciling as a private, Cayman Islands company, it can expect significantly lower administrative costs, a more flexible operating environment, a superior ability to attract and retain talent, and improved prospects of accessing future capital at an attractive valuation.

Nandan Sheth, MD and CEO, Splitit, says: “This level of investment significantly strengthens our balance sheet, allowing the team to focus on our white-label product strategy, innovation, and our tier one global distribution partners.”

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