--Significant milestone in ongoing business
transformation--
--Partners will offer services for
institutionally-funded lending to small businesses--
SHANGHAI, Oct. 8, 2019 /PRNewswire/ -- China Rapid Finance
Limited (NYSE: XRF) ("XRF" or the "Company") today announced the
signing of Letters of Intent (the "LOIs") with Chengdu Qiye
Technology Co., Ltd., ("Qiye") outlining how the Companies will
partner to offer services for institutionally-funded lending to
small and medium sized businesses ("SMB"). This new partnership
marks another important milestone in the Company's business
transformation since withdrawing from the P2P lending business.
Under the planned partnership, XRF will provide technology
development and risk management services to Qiye through an
operating subsidiary under its Cayman Company. The subsidiary is
intended to become the Company's fintech and service revenue driver
in the SMB "Lend Aid" business. No retail funding will be used for
this new business. The new business will combine XRF's established
and sophisticated technology for lending and risk management
technology with Qiye's marketing and customer channel expertise in
order to help institutional lenders more effectively reach
potential SMB borrowers. XRF believes that this partnership will
further drive its transformation into a rapidly growing platform
focused on institutional lending to SMBs.
Dr. Po Wang, Co-CEO of China Rapid Finance, commented, "The
Chinese government is actively promoting lending to SMBs, which
makes this an attractive market opportunity for us. The foundation
of our partnership is the current clientele of Qiye, which has
already established a fast-growing SMB loan-aid business with
institutional funding. China Rapid Finance strengthens the product
offering via its pioneering financial services and risk management
technology."
Dr. Zane Wang, Chairman and
Co-CEO of XRF, stated: "We believe this endeavor can create
meaningful value for our shareholders as it drives expected revenue
and profit growth. We are fully committed to transforming XRF away
from P2P lending and toward broader fintech services in an orderly
and responsible manner."
About China Rapid Finance Limited
China Rapid Finance (NYSE: XRF) is a leading fintech company
that combines an award-winning microcredit fintech service with one
of China's largest online consumer
finance marketplaces. The Company utilizes its proprietary,
mobile-first technology to select consumers for its platform. China
Rapid Finance was founded by Dr. Zane
Wang, who has decades of consumer credit industry experience
in the U.S. and China. For more
information, please visit http://ir.crfchina.com.
About Chengdu Qiye Technology Co, Ltd
Chengdu Qiye is a leading "loan-aid" company helping
institutions lend to small and medium businesses. Via its propriety
platform for business intelligence, it helps lenders to provide
pre-approved credit lines to targeted small businesses throughout
China. Qiye has a veteran sales
and marketing team that has successfully built a fast growing
operation. Qiye has secured lending capital credit lines from major
institutions. The company is an award-winning startup in the
Chengdu High-Tech Park funded by investment from many well-known
institutions.
Safe Harbor Statement
This press release contains forward-looking statements within
the meaning of Section 21E of the Securities Exchange Act of 1934,
as amended. These forward-looking statements are made under the
"safe harbor" provisions of the U.S. Private Securities Litigation
Reform Act of 1995. These statements can be identified by
terminology such as "may," "will," "expects," "anticipates,"
"aims," "future," "intends," "plans," "believes," "estimates,"
"likely to" and similar statements. The Company may also make
written or oral forward-looking statements in its reports filed
with, or furnished to, the U.S. Securities and Exchange Commission,
in its annual reports to shareholders, in press releases and other
written materials and in oral statements made by its officers,
directors or employees to third parties. Statements that are not
historical facts, including statements about the Company's beliefs
and expectations, are forward-looking statements. Forward-looking
statements involve inherent risks and uncertainties. A number of
factors could cause actual results to differ materially from those
contained in any forward-looking statement, including but not
limited to the following: the Company's ability to satisfy the
requirements of PRC regulatory authorities regarding the repayment
of loans made by lenders on its platform; the success of the
cooperation arrangement with EOT; the Company's ability to file its
Annual Report in a timely manner or regain compliance with NYSE
continued listing standards; the potential need to make adjustments
to prior period financial statements of the Company; unexpected
difficulties in the Company's pursuit of its goals and strategies;
unexpected developments, including slow growth, in the consumer
lending market; reduced demand for, and market acceptance of, the
Company's products and services; difficulties keeping and
strengthening relationships with borrowers or investors;
difficulties of expanding data and channel partnerships,
potentially costly servicing activities; competition in the
consumer lending market; PRC governmental regulations and policies;
and general economic and business conditions in the regions where
the Company provides products and services. Further information
regarding these and other risks is included in the Company's
reports filed with, or furnished to, the Securities and Exchange
Commission. All information provided in this announcement and in
the attachments is as of the date of this announcement, and the
Company undertakes no duty to update such information except as
required under applicable law.
View original
content:http://www.prnewswire.com/news-releases/china-rapid-finance-announces-strategic-partnership-with-chengdu-qiye-technology-300933771.html
SOURCE China Rapid Finance