₦airaland Forum

SoftBank-backed digital-payments company OPay withdrew a planned $304 million US initial public offering on Friday, citing a ​regulatory inquiry by a foreign jurisdiction it did not identify.

The Nigeria-focused company ‌described the inquiry as relating to a jurisdiction "immaterial" to its core operations. In a statement, it did not identify the regulator or nature of the inquiry.

OPay said it expected the matter ​to be resolved satisfactorily in the near future and that the probe "should ​not be misconstrued as a reflection on the Company’s business performance, ⁠financial condition, operational integrity, or regulatory standing."

The company said the inquiry would not ​affect its operations, regulatory standing or customer service in Nigeria or its other markets.

OPay ​could not immediately be reached for comment outside office hours.

Earlier in the day, OPay said it had priced 16 million American depositary shares at $19 each, the bottom of its targeted $19-to-$21 range, valuing ​the company at about $4 billion.

Japanese tech investor SoftBank Group, whose entities owned a ​6.6% stake in OPay before the offering, did not immediately respond to a request for comment.

Numerous ‌companies ⁠worldwide have delayed stock market listings in recent weeks as stubborn inflation and a selloff in AI-related stocks have weighed on investor sentiment.

OPay, founded in 2018, provides digital financial services across emerging markets, including Nigeria and Indonesia.

Its app offers payments, money ​transfers, savings and loans ​in economies where ⁠limited access to traditional banking can make everyday transactions difficult.

OPay was founded by Chinese billionaire Yahui Zhou, who also founded ​Beijing Kunlun Tech, a Chinese gaming company that previously owned ​dating app ⁠Grindr.

The fintech raised $400 million in 2021 at a valuation of $2 billion. It had about 50 million monthly active users as of July 31, according to its IPO prospectus.

Citigroup, Deutsche ⁠Bank, ​Standard Bank and CICC were among the underwriters. The ​company had planned to list on the NYSE under the ticker symbol "OPay."

DennisEche:
Those who understand legal matters, what does this mean, summarize please, because this news is just saying grammar without meaning

Reference:
Just wonder why they will go all the way to the NYSE. What is the plan?

Well we are waiting DangRef to hit Newyork for this very reason. Answers through better scrutiny.

DennisEche:
Those who understand legal matters, what does this mean, summarize please, because this news is just saying grammar without meaning

Hezzyluv:
To Opay and other fintech, thank you for bringing an end to we stress.

Just imagine 2moro Na Monday, only for you to go bank join one long.... queue for bank for the little transactions you wan do.

ajalawole:
likely to exit Nigeria market bro. Because if listed on NYSE some worthy American businesses can buy opay so they can expend to Nigeria just like that bank giving the American bank giving the ahead to operate in Nigeria

NaijaHelper1:
oPay at its core is a Chinese company. It pretends to be a Nigerian focused business but it's a Chinese entity. Their listing at the NYSE is one of the Chinese strategy of invading American stock market through the backdoor so they can get a footing in their financial markets which the Americans are clearly resisting. At this time when the US and China are at an intense competition, and the US fears China is already winning, oPay faces increased scrutiny. The foreign jurisdiction oPay is referring to which it argues is immaterial to it's operations is most likely China. But is it really immaterial when all your profits are being sent there?

DennisEche:
Those who understand legal matters, what does this mean, summarize please, because this news is just saying grammar without meaning

NaijaHelper1:
oPay at its core is a Chinese company. It pretends to be a Nigerian focused business but it's a Chinese entity. Their listing at the NYSE is one of the Chinese strategy of invading American stock market through the backdoor so they can get a footing in their financial markets which the Americans are clearly resisting. At this time when the US and China are at an intense competition, and the US fears China is already winning, oPay faces increased scrutiny. The foreign jurisdiction oPay is referring to which it argues is immaterial to it's operations is most likely China. But is it really immaterial when all your profits are being sent there?

motymop:
stop saying what you dont know as if there are no chinese companies listed on the US stock exchange

Reference:
Just wonder why they will go all the way to the NYSE. What is the plan?

Well we are waiting DangRef to hit Newyork for this very reason. Answers through better scrutiny.