- Beforepay Group (B4P) shares are in the red today after beginning ASX trade on Monday under the ticker code B4P
- Its IPO raised $35 million by issuing approximately 10.3 million new shares at a price of $3.41 each
- Founded in 2019, Beforepay offers consumers early access to a portion of their next pay in exchange for a five per cent fixed fee
- The company plans to use the funds raised in the IPO to accelerate growth in Australia with its existing product and to explore international expansion options
- Shares closed 2.88 per cent lower today at $2.02 each
Beforepay Group (B4P) shares are in the red today after beginning ASX trade on Monday under the ticker code B4P.
The current share price is $2.02, representing about a 40 per cent fall from its prospectus offer price.
Its IPO raised $35 million by issuing approximately 10.3 million new shares at a price of $3.41 each.
Founded in 2019, Beforepay offers consumers early access to a portion of their next pay in exchange for a five per cent fixed fee. There is no compounding interest or late fees attached.
In the December quarter, pay advances reportedly saw growth of 361 per cent to $77 million from the previous corresponding period.
Active users have grown by 199 per cent to 139,100 the company announced.
The company plans to use the funds raised in the IPO to accelerate growth in Australia with its existing product and to explore international expansion options.
Chief Executive Officer Jamie Twiss said this is an exciting step for the company.
“Over the last and a half, we’ve seen that Pay on Demand offer people a better, more customer-friendly way of managing their finances, and the strong growth we’ve seen- tripling in size over the last year- shows that people are responding,” he said.
“The funding that we’ve raised through the IPO will enable us to accelerate growth in Australia even further and to explore opportunities overseas as well.
“I feel confident that we have the strategy, the team, and now the resources to reinforce our position as the leader in this fast-growing category and to significantly expand the business.”
Shares closed 2.88 per cent lower today at $2.02 each.