StanChart, Atome in path-breaking US$500m financing deal
IN an industry first, Standard Chartered (StanChart) will provide US$500 million in financing to Singapore-based "buy now, pay later" (BNPL) fintech Atome Financial, under a new 10-year partnership to be rolled out in Indonesia, Malaysia, Singapore and Vietnam in the next few months.
This tie-up will initially include BNPL services and later expand to include digital-lending products, said StanChart and Atome in a joint statement on Wednesday (Oct 13).
It aims to reach over 16 million customers in Asia by 2025 and gain access to multiple financial ecosystems to capture a share of the digital-lending market – estimated to be valued at US$92 billion by 2025 in South-east Asia alone.
Unlike banks, BNPL players generally take a lighter-touch approach in evaluating credit-worthiness, which means no credit checks, debt discussions and payslip requirements, among others. While convenient for consumers, it arguably raises credit risk for …
GET BT IN YOUR INBOX DAILY
Start and end each day with the latest news stories and analyses delivered straight to your inbox.
BT is now on Telegram!
For daily updates on weekdays and specially selected content for the weekend. Subscribe to t.me/BizTimes
Banking & Finance
Abu Dhabi returns to debt market with new US dollar bond
Ping An profit falls as market declines hurt investment returns
BOJ will hike rates if trend inflation accelerates, says Ueda
Binance’s rivals muscle in on Bitcoin trading around the world
Citi picks Amit Dhawan to head Singapore commercial bank operations
China finance ministry echoes Xi’s call for bond trading at PBOC