Peppermint Innovation is an Australian-based fintech company that got listed on the Australian Securities Exchange (ASX) through a backdoor with the help of Chrysalis Resources. This company is creating a fintech business that aims at facilitating small mobile payments in the Philippines. Peppermint is planning to establish a global mobile payment platform where millions of people can make their remittances without accessing traditional banks.
On Friday, December 4 the company’s shares opened on ASX at a price of 2 cents. They traded at 2.1 cents on that day before closing at 2 cents.
The fintech business being created by Peppermint is based entirely on small payments. It caters for the needs of the majority of residents living in the Philippines. For example, a taxi driver who earns approximately 2000 pesos a fortnight and sends about 1800 pesos to his family via traditional methods is charged between 10 and 15 per cent of the total amount sent by a courier company and pawn broker. Using Peppermint’s services, the same taxi driver will be charged between 3 and 5 percent only, which translates into big savings.
The population of the Philippines is about 100 million, and there are approximately 105 million mobile phones. Nearly 75 percent of adults in the Philippines do not have a bank account.
It has taken Peppermint four years to develop and integrate the technology that is now being used by three of the top commercial banks in the country, including Metrobank, UCPB and Unionbank.
According to World Bank estimates, payments made by migrants working in foreign countries within developing regions have increased by 4.4 percent to US$436 billion in 2014.
The company is planning to use $3.87 million, the proceeds received from the backdoor float, to expand its mobile payment platform, and promote it throughout Europe, Asia and then the rest of the world.