Credit Clear looks to advance its global expansion plans with new deployment in New Zealand
Fintech company Credit Clear (ASX:CCR) announced the expansion of its global footprint, deploying its digital platform into the New Zealand market.
CCR said its NZ move will support the growth of Prospa Group (ASX:PGL), a leading online lender to small business in Australia and New Zealand, and one of CCR’s long term partners.
The NZ expansion follows a recent partnership agreement signed with Techub in November, which CCR said would help underpin its growth into global markets.
Johannesburg-based Techub is a global contact centre and technology provider, serving a multi-billion dollar account receivables portfolio of existing clients in large developed markets like the US and UK.
“Credit Clear’s platform supports our clients’ expansion goals into new markets, and also presents the opportunity for our business to continue to scale globally,” said Hentschke.
Founded in 2015, Credit Clear is building out a disruptive business model in the multi-billion dollar debt collections market.
It has developed a proprietary digital billing and communication technology platform that helps businesses manage their account receivables.
The proprietary technology uses artificial intelligence (AI) and machine learning, giving Credit Clear a significant first mover advantage.
In Australia, household debt levels includes mortgage credit totals almost $2.9 trillion. Australians also ahve $27 billion in credit card debt as well as access to new credit models such as buy-now-pay-later (BNPL) debt.
CCR’s announcement this morning follows its November investor presentation and a quarterly update at the end of October, where it flagged a 22% increase in revenue to a record high of $3.4m.
The next quarter is expected to be even stronger following the the Techub deal, which the company labelled as a key step towards its global expansion strategy.
Techub has identified a minimum portfolio of $50m in receivables, which could climb to as high as $100m on a rolling basis over the three-month period.
Under that deal, Credit Clear will generate commission revenues “on all payments made across identified portfolios”, the company said.
Hentschke said the deal provided a simple pathway for Credit Clear to scale into new markets in a “capital efficient” way, without the need to incur its own setup costs or spending outlays on business development.