Ovanti Secures 20-Year BNPL License with BNPLPay for Low-Cost Funding

About Ovanti Limited

Ovanti Limited (ASX: OVT), founded in 2000 and headquartered in Melbourne, Victoria, is a fintech solutions provider specialising in digital commerce, mobile banking, and payment authentication technologies. The company’s core platform enables financial institutions, telecommunications providers, and merchants to securely process banking transactions and digital payments across mobile devices. Ovanti has a strong presence in Malaysia and Indonesia, serving major banks and telecom operators. With its Buy Now, Pay Later (BNPL) expansion into the United States, Ovanti aims to leverage its fintech expertise to capture new market opportunities and scale its digital lending solutions. Currently, Ovanti shares are trading at $0.08 per share.

Strategic Partnership with BNPLPay Protocol

Through its licence agreement with BNPLPay, Ovanti secures long-term access to decentralised lending pools, allowing the company to fund its BNPL operations at significantly reduced interest rates. Traditional BNPL financing relies on banks and institutional lenders, often charging high-interest rates exceeding 15% annually. By contrast, BNPLPay’s lending network offers capital at rates up to 40% lower, improving Ovanti’s cost structure and expanding its lending capacity without adding debt risk.

A key differentiator of BNPLPay’s funding model is the elimination of first-loss capital requirements. Traditional lenders require BNPL companies to contribute equity reserves to cover potential loan defaults, limiting their ability to allocate capital toward growth. Under BNPLPay’s structure, first-loss collateral is provided by independent network participants, allowing Ovanti to deploy capital more efficiently.

Ovanti’s Executive Chairman and Interim CEO, Daler Fayziev, described the agreement as a transformative funding solution, stating that BNPLPay offers superior financing terms compared to banks and non-crypto lenders.

50% Revenue Share Model and Long-Term Financial Benefits

Beyond funding advantages, Ovanti has secured a 50% revenue share in BNPLPay’s lending platform. This means that for every transaction facilitated by BNPLPay, half of the protocol’s revenue will flow to Ovanti.

This structure provides a stable, recurring income stream that is independent of Ovanti’s direct BNPL lending activities. As BNPLPay’s ecosystem grows, Ovanti’s earnings from the platform will scale accordingly, positioning the company to benefit from the rising adoption of decentralised finance (DeFi) in the BNPL sector.

The 20-year revenue-sharing model diversifies Ovanti’s business strategy, allowing it to participate in both BNPL lending and fintech infrastructure growth without additional operational risks.

Capital Raise and Financial Considerations

To fund the $2.39 million Licence Agreement, Ovanti completed a $1.54 million share placement to sophisticated investors, issuing 235 million shares at $0.00655 per share. Additionally, 135 million shares were issued to BNPLPay Protocol Foundation as part of the transaction.

The total 370 million new shares were issued under ASX Listing Rule 7.1 and 7.1A capacity, ensuring no shareholder dilution beyond regulatory limits.

Additionally, Clee Capital Pty Ltd acted as lead manager, earning a 6% capital raise fee, alongside 70 million broker options with an exercise price of $0.013, expiring in three years.

Outlook and Growth Potential

With secure access to low-cost funding and a revenue-generating fintech partnership, Ovanti is well-positioned for long-term expansion in the BNPL sector. The company’s entry into the USA market, backed by its decentralised financing model, could provide a competitive advantage over traditional BNPL providers reliant on high-cost debt financing.

Investors will be monitoring Ovanti’s BNPL growth metrics, revenue performance from BNPLPay’s lending protocol, and potential further fintech partnerships as the company expands its market presence. The decentralised finance (DeFi) landscape continues to evolve, and Ovanti’s strategic positioning within BNPLPay could prove pivotal in capturing future fintech opportunities.