Active investor Chris Akers has taken a 3.32% stake in Fiinu Group (LON: BANK), which was formed in July when the Fiinu banking business reversed into the AIM shell Immediate Acquisition.
Subsidiary Fiinu Bank gained its restricted banking licence when the company joined AIM and raised £8.01m at 20p a share. That valued Fiinu at £53m. The share price had drifted lower ahead of the reversal and has been below 20p ever since. The current share price is down 0.25p to 14.25p.
Open banking provides an opportunity for innovative financial products and Fiinu is taking advantage of this. It has developed the Plugin Overdraft, which provides customers with an overdraft facility without the requirement to switch banks. An application for the overdraft via the Fiinu app provides permission for Fiinu to access the applicants account details at their bank. Fiinu can then assess whether they meet the requirements for the Plugin Overdraft.
Management still has to build up the infrastructure of the bank and attract deposits.
