A Financial Services (Non Banking finance company) entity from Singapore is looking to raise strategic funding.

Posted By - Investment Banker

BUSINESS BRIEF

The Company is a leading financial services provider in Singapore and the Philippines focusing on SME services, lending and financial inclusion. They are a regulated major payments institution, finance corporation, licensed remittance provider, and rural bank providing financial services with market-leading technology solutions.

They provide secured and unsecured loans, wallets, business software, and other financial services to businesses and individuals who normally can’t access the traditional banking system.

headquartered in Singapore with 5 operating branches in the Philippines: 1 in Metro-Manila, 3 in Pampanga, and 1 in Cebu. Here are some of the key highlights to look at-

Firm has a Policy of “Business Risk” and “Investment Risk” Mitigation –through business diversification, low CAC, prudent fiscal management, strict management of NPL’s

  • Profitable every year (4 years -since commencement in 2016)
  • Income growth of over 150% per year (for 3 years in a row)
  • Loan Portfolio growth of over 150% per year (for 3 years in a row)
  • Current Loan Portfolio size –SGD $10.9M; growing to SGD $20.9M for FY2021
  • Net Revenue Growth Forecasts: +112% for FY2021 (due to large Loan Pipeline), and conservative 50% per year growth from FY2022 forwards
  • Conservative Growth –maintaining profitability throughout, not burning cash

Regulated by Philippine’s authorities as a “Finance Corporation” and “Rural Bank” –fully licensed for all financing activities

Proposal

Capital Requirement USD 10 to 12 Mn
Justification: In Line with Transaction Multiples i.e 1.8X (Portfolio Size/Equity Valuation) multiple and 21.7x (EV/EBITDA) multiple
Funding Route

Private Equity, Strategic Investor

Extent Of Dilution

Upto 26 %

Share Holding Pattern

Promoter Group 90%

Non-Promoter Share Holder 10%

Reason For Raising Capital

Inorganic Growth, Acquisition

Business Operating Information

Industry Icon Industry: Financial Services

Industry Icon Sub-Industry: Non Banking finance company

Division

Division`s Buyers/Customers

Division`s Plant Location

Division`s Products/Services

Division`s Products/Services

Industry Icon Industry: Financial Services

Industry Icon Sub-Industry: Non Banking finance company

Division

Division`s Buyers/Customers

Division`s Plant Location

Division`s Products/Services

Business Strength

Sales strength

Justification Consistent growing Portfolio with over 150% for 3 years in a row

Financial strength

Justification Significant margins and Low NPLs

Financial Information

2017 (in USD) 2018 (in USD) 2019 (in USD) 2020 (in USD)
Sales N.D N.D 0.52 Mn 1.45 Mn
EBDITA N.D N.D
PAT N.D N.D N.D N.D
TANGIBLE NET WORTH N.D N.D N.D N.D
LONG TERM DEBT N.D N.D N.D N.D
TOTAL DEBT N.D N.D N.D N.D

Business Document

Annual Report

CONTACT BUSINESS

If you are interested in connecting with business please send an Expression of Interest.

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