Tag Archives: Transaction & Payment Services (TRBC level 5)

Australian stocks extended gains as commodity-exposed companies shone | Instant News


April 7 (Reuters) – Australian stocks on Wednesday extended gains for a fourth session, driven by commodity-exposed stocks to strong crude oil and metals prices and as investors bet on improving prospects for a global economic recovery.

The S & P / ASX 200 index rose 0.5% to 6,920.2 points in early trading, hitting a new high since mid-February. Elsewhere in Asia, Nikkei futures were up 0.4%.

On Tuesday, the International Monetary Fund raised its forecast for global economic growth to 6% this year, a level not seen since the 1970s.

Strong economic data from China and the United States lifted oil prices by 1%, while a weaker dollar and lower US Treasury yields boosted bullion.

Meanwhile copper prices rose on supply concerns after a major Chilean producer closed its borders following a spike in coronavirus infections.

Strong commodities lifted sentiment despite the pullback on Wall Street overnight. All three major US stock indexes closed in the red, retreating from previous session record highs, while Treasury yields edged down.

The ASX 300 metals and mining index was up 0.67%, while the gold sub-index was up 1%, led by Resolute Mining Ltd. which was up 4.4%.

Tech shares rose 1.8%, led by EML Payments Ltd, up 10.7%, followed by NEXTDC Ltd which rose 3.6%.

In New Zealand, the benchmark S & P / NZX 50 index was up 0.68% to 12,484.3.

The highest percentage gainer in the benchmark index was Contact Energy Ltd, up 2.8%, followed by Pushpay Holdings Ltd and Air New Zealand Ltd which rose 2.5% and 1.9%, respectively.

Reporting by Shruti Sonal in Bengaluru, Editing by Sherry Jacob-Phillips

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PayPal is presenting a ‘buy now, pay later’ offer to crowded Australia | Instant News


SYDNEY (Reuters) – PayPal Holdings Inc will launch a “buy now, pay later” (BNPL) option in Australia this June, the US payments giant said on Wednesday, further pushing on Afterpay Ltd and others for shares in the fast-growing industry.

FILE PHOTOS: PayPal app logo visible on mobile in this illustrated photo October 16, 2017. REUTERS / Thomas White / Illustration / Photo File

So far PayPal’s new BNPL option has been rolled out in the United States and the UK where at the end of the December quarter it is said to have handled more than $ 750 million in transactions.

The US payments giant now plans to deliver interest-free “Pay in 4” services to its more than 9 million customers in Australia, where the fast-growing regulatory space is thinner than for other categories of consumer finance, while adoption is higher than for other markets.

The arrival of PayPal presents a serious new competitor to Afterpay and Zip Co Ltd, which leads the domestic market, as well as Klarna from Sweden which is supported by a small shareholding of the largest bank in Australia.

Andrew Toon, general manager of payments at PayPal Australia, told Reuters that the company had been “inundated” with requests from Australian merchants and businesses following the launch of the BNPL service overseas last year.

PayPal plans to take advantage of its long-term relationship with Australian merchants but is not looking to an exclusive arrangement that will strengthen other BNPL providers, Toon added.

The company’s initial announcement last year that it would join the BNPL sector raised concerns among investors and analysts that its deep network with retailers and lower merchant fees could eat into the company’s long-standing growth.

“The big question is whether (PayPal) is getting such additional sales in a potentially different customer base, or are they just taking a share of old shareholders,” said Steven Ng, co-founder and senior portfolio manager at Ophir Asset Management, which owns Stocks. afterpay.

Afterpay shares, which have been hit in recent weeks by the global tech selloff, were up more than 8%, while Zip was down 3.6% towards the end of the trading day.

“You shouldn’t underestimate the scale and power of the technology that Paypal has in competing with existing players,” said Ng, adding that the competition will see further innovation and BNPL take a bigger market share in the payments industry as a whole.

Reporting by Nikhil Kurian Nainan in Bengaluru and Byron Kaye in Sydney; Edited by Christopher Cushing

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Afterpay Australia explores global records as first-half sales double | Instant News


(Reuters) – Afterpay is exploring additional overseas listings amid growing US investor interest, Australia’s buy-now-pay-later said on Thursday after reporting first-half sales more than doubled.

Fintech Australia and its global competitors such as Klarna, Affirm and Sweden’s Zip Co have seen explosive growth since the pandemic locked in large parts of the world and made more people turn to online shopping.

Afterpay shares have gained more than 1,500% since March, establishing itself as the 12th most valuable company in Australia.

Afterpay also said it raised A $ 1.25 billion ($ 995 million) in convertible banknotes in a complex deal to buy Matrix Partners stock from its US business – which accounts for 43% of its sales. The United States is also a key growth market for the industry where it struggles with fast-growing Klarna.

Klarna, who is reported to be tapping into more private funding, posted his full-year results on Thursday evening.

Afterpay’s legal losses more than doubled to A $ 79.2 million as the strong growth of its UK business pushed the unit’s valuation higher and increased the value of put options held by other companies. Zip also posted a much bigger half-year loss after buying New York counterpart Quadpay.

While Afterpay’s gross transaction loss fell to 0.7% – indicating fewer customers skipping payments – margins also fell slightly to 2.2% from six months ago.

Transactions made through Afterpay totaled A $ 9.8 billion in the six months to December 31, double the A $ 4.8 billion processed last year, supported by strong holiday spending.

Active subscribers jumped 1.9 million to 13.1 million in the three months to December.

($ 1 = 1.2547 Australian dollars)

Reporting by Nikhil Kurian Nainan in Bengaluru; Edited by Forward Samuel

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UPDATE 2-Italy’s Nexi closes the SIA merger as core profit grows | Instant News


(Added CEO comment, details)

MILAN, Feb 11 (Reuters) – Italy’s largest payments group, Nexi, on Thursday met its “aspirational target” of 600 million euros ($ 727 million) in core profit for 2020 after cutting costs to offset a decline in transactions caused by the pandemic.

Nexi also said it had signed a binding agreement to merge all proposed shares with rival SIA following an initial memorandum of understanding in October.

More than a month later, Nexi also signed a merger deal with rival Nordic Nets, riding a wave of consolidation in the fast-growing payments industry.

CEO Paolo Bertoluzzo told analysts that Nexi is expected to finalize the Nets deal in the second quarter and the SIA merger in the third, creating a major European player next to the French World Line, which Ingenico recently acquired.

By mid-2021, Nexi also hopes to close the acquisition of the payment business of retailer UBI Banca, which it bought after a similar deal with Intesa Sanpaolo. Intesa has taken over UBI to create the largest bank in Italy.

Nexi hopes to increase revenue at the mid to high single-digit rate this year after a 2.8% drop in 2020, provided Italy gradually exits a health emergency in the first half of this year. Revenues reached 1.04 billion euros in 2020.

Bertoluzzo warns that guidance on income growth is the midpoint of a wider range with actual numbers depending on the evolution of the pandemic.

Despite lower turnover as Italy grapples with two waves of COVID-19 in the spring and fall, Nexi reported a 2.5% increase in core profit.

The restrictions that Italy imposed to fight the resurgence of the virus pushed transaction volumes down 8.6% in the fourth quarter, Nexi said, adding there were already signs of recovery in January.

Bertoluzzo also mentioned the acceleration of digital payments thanks to government incentives.

Nexi’s shares closed up 1.5%.

Rival SIA on Thursday reported a 2% increase in 2020 revenue to 748 million euros and core profit up 3% to 285 million euros. ($ 1 = 0.8249 euros) (Reporting by Elisa Anzolin; editing by Agnieszka Flak and Elaine Hardcastle)

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