Embedded payments technology platform Splitit Payments has delisted from the ASX exchange after completion of an investment round in the firm by Motive Partners.
New York City-based Motive has secured a controlling stake in Splitit of $25m, with the cash injection being the first of two tranches in the company. The second set will bring the total commitment to $50m.
Motive and Splitit have outlined a joint commitment to accelerate the latter’s growth and effectively executive its business strategy using the former’s financial backing.
Dawn Robertson, Chair of Splitit, said: “We are delighted to close Motive’s first round of growth investment. As a world-class private equity sponsor with significant capital, extensive payments expertise, value-additive capabilities, and deep industry relationships, Motive is the ideal partner to support Splitit in creating long-term value.”
Splitit’s primary offering revolves around allowing customers to pay via card-attached instalments using their existing card without increasing total credit exposure.
The company has had an active 2023, having launched a white label payments product, SplititExpress, in April, followed by a partnership with online retailer AliExpress in September.
Nandan Sheth, Managing Director & CEO of Splitit, added: “Attracting a strategic investor of this calibre is a testament to the quality of our team and our unique, innovative offering.
“Motive’s investment significantly strengthens our balance sheet and brings additional global payments expertise, allowing the team to accelerate our white-label product strategy, product innovation, and our Tier One global distribution partnerships.”
As a result of Motive’s investment, Splitit has – as mentioned above – delisted from the ASX exchange whilst also relocating from its founding location of Israel to the Cayman Islands via a share exchange.
The full $50m investment,however, is subject to certain conditions. The second $25m trache will be invested based on Splitit achieving ‘certain 2023 full-year financial performance milestones’, although Motive noted that the firm is currently exceeding these targets.
“We are thrilled to become a strategic investor in Splitit,” said Jeff Yabuki, Chairman and Founding Partner at Motive Partners.
“The company and its management have created a differentiated approach to commerce innovation across an impressive set of strategic partnerships which we believe will further unlock an attractive market. We look forward to partnering with Splitit’s talented team to take the company to new heights.”