Splitit Payments (ASX:SPT)
has signed a $US150 million receivables funding facility with Goldman Sachs.
The online payments company says the facility is lower cost than Splitit’s existing funding and its use is expected to increase Splitit’s gross margins over time.
The facility will provide merchant funding for Splitit’s major markets along with a structure to facility double the size of Splitit’s existing credit facilities, supporting US and European growth.
This large committed facility from Goldman Sachs is a key pillar of the company’s merchant sales volume growth strategy. Demand from merchants in the US and Europe for our funded model has never been stronger, and coupled with our existing strong balance sheet, we now have the foundations in place to accelerate our growth plans whilst also driving improved margins.”
Shares in Splitit are trading 2.07 per cent higher at $1.48