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| Vendy Nielsen • Messages: 14 • Years on forum: 11.2 |
05:01 PM 11/26/2015 |
The shift has picked up just in time for fintech's first major shakeout.
First of all, current price decline impacted non-traditional lenders. The hope that programmers can manage financial risks were overstated.
Two of the biggest publicly traded fintech stocks, LendingClub Corp. and On Deck Capital Inc., have fallen 49% and 56%, respectively, this year. Uncertain market conditions led nonbank mortgage lender loanDepot Inc. to postpone its initial public offering this month.
Small Business Lender + fintech services company Newtek Business services lost less - only 30% this year as it's in lendings business for 17 years sinces 1998.
While payments startup Square Inc. proposed an IPO price that valued the company about 30% below an earlier funding round.
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| Max House • Messages: 8 • Years on forum: 11.2 |
05:02 PM 11/30/2015 |
Yeh, Square was priced quite low...
The six-year-old company, founded and run by Twitter Inc. Chief Executive Jack Dorsey, priced at $9 a share late Wednesday, according to people familiar with the matter. That is lower than the projected offering range of $11 to $13 and even further below the $15.46 at which Square raised money last year from private investors.
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