Limepay float proves buy now pay later field is still wide open

Buy now pay later (BNPL) platform provider Limepay is going all out to attract top staff and ready for a 2021 ASX listing in the latest sign that the space is still growing rapidly.

Unlike other BNPL stocks such as Afterpay (ASX: APT) and Zip (ASX: Z1P), Limepay allows retailers to effectively launch their own BNPL platform, retaining branding rights and allowing the retailer to retain the data and manage contacts with the customer.

That is thought to remove one of the key reservations for retailers keen to embrace the convenience and higher sales of BNPL but wary of losing the customer entirely because brand loyalty can transfer to the BNPL provider rather than the supplier of the goods or service.

Stockbrokers appointed to drive float plans

Certainly, Limepay is working very hard to assemble a new board and has appointed stockbroking firm Ord Minnett and the advisory arm of Prime Financial to help with its ASX float plans.

While it plans to list this year, Limepay’s progress will depend on the success of its hiring plans and market conditions.

So far, Limepay has more than 120 merchants using its platform, including Accor, EB Games (famously owned by GameStop) and Puma.

Property group Domain is planning to use Limepay as a way for sellers to pay marketing costs to real estate agents.

Hiring blitz driving growth

Limepay co-founder and revenue chief Dan Peters joined Limepay from Google Australia, which is also where Domain chief executive officer Jason Pellegrino worked.

Limepay also has a high-profile backer in the form of Woolworths chief executive Brad Banducci, who is a private investor in the company.

Mr Banducci is well known for investing in growing financial services companies in a private capacity and is a large shareholder in troubled payments player Tyro.

Limepay has been actively recruiting senior staff with former XE.com chief executive officer and Oz Forex executive Mark Ledsham starting as chief financial officer while previous PayPal and Westpac executive Jessica Turnbull is in charge of marketing.

Chief technology officer Andy Britz used to work at Simple Machines and Aussie Home Loans.

MediaCom Australia chief and former Yahoo local managing director Willie Pang is also due to join the board as a non-executive director.

Limepay currently has a head count of about 40 but that number is expected to grow to up to 70 over the next few months as the company bulks up to grow in the lightly regulated BNPL space, which has so far been dominated by Australian companies.