DIGITAL start-up Tymebank is sustaining the acquisition of about 130 000 customers a month and is making headway on the number of customers with active accounts, which it admits is challenging in the tough economy.
Tymebank’s parent, African Rainbow Capital Investments (ARC), in an update for the first three months of 2022, said that internationally, TymeBank’s subsidiary, Tyme Global, based in Singapore, will launch a digital bank called GOtyme in the Philippines in October, with local partners the Gokongwei family.
An update by JSE-listed ARC Investments provides a window into the progress of the relatively new start-up online Tymebank, which otherwise would not have to make its details public.
Last month, Tymebank assigned its chief executive Tauriq Keraan to a new international executive role and had contracted Coenraad Jonker, a founding member of TymeBank and executive chairman of Tyme Global, based in Singapore, to take up the role of chief executive.
ARC Investments’ update also provided some insight into progress at the start-up mobile data network, rain.
Rain participated in the government-initiated spectrum auction that saw it acquire 2x10MHz in the 700MHz band and 20MHz in the 2.6GHz band, for R1.43 billion.
Although the additional spectrum is expected to positively impact the valuation of the ARC Fund’s investment in rain, the use of the spectrum and its impact on rain’s cash-flow forecast was still being finalised.
“The estimated impact of the spectrum auction will only be reflected in the June 2022 valuation of the ARC Fund’s investment in rain. The business continues to perform well and demand for both 4G and 5G services remains strong,” ARC Investments said.
During the first three months of 2022, ARC Investments disposed of its Metrofibre investment for R275 million, realising a gain of R37m. A remaining R31m would be receivable in June 2022.
The ARC Fund disposed of 4 million Afrimat shares between December 31, 2021 and March 31, 2022 at R61 a share, which saw a R244m cash injection into the Fund and a profit of R132m.
The ARC Fund currently holds a 7.3 percent shareholding in Afrimat.
In the Kropz Plc (Kropz) investment, the commissioning of the Elandsfontein phosphate mine was ongoing, although slower-than-expected progress had been made in ramping up production and the ARC Fund had to extend funding for working capital purposes.
Market demand for phosphate and fertiliser remained strong.
The ARC Fund received an offer for its 11.1 percent stake in Humanstate, and 43.2 percent stake in Payprop SA, and a divestment of the businesses was being considered.
ARC Financial Services Investments acquired an additional 21 million shares in Alexander Forbes Group Holdings, resulting in ARC FSI holding 41.47 percent of the total issued shares.
Fledge Capital disposed of its investment in WeBuyCars and was considering a series of new opportunities. This followed its recent acquisition of 20 percent of the sports nutrition manufacturer USN.
BUSINESS REPORT