Ovanti Targets USD 300 Million Valuation in NASDAQ SPAC Strategy

Ovanti’s U.S. Market Ambitions

Ovanti Limited (ASX, OVT) has provided a significant update on its strategic review of a potential NASDAQ dual-listing or a Special Purpose Acquisition Company (SPAC) transaction. Since its last quarterly update in July, the fintech company has deepened its engagement with the U.S. capital markets, executing non-disclosure agreements with four SPACs and holding discussions with over a dozen others. The largest of these SPACs boasts over USD 200 million in cash, underscoring the scale of potential capital infusion.

This move aligns with Ovanti’s broader ambition to enhance shareholder value by tapping into the stronger valuations and capital market support that NASDAQ listings offer, particularly for Buy Now Pay Later (BNPL) companies with U.S.-focused operations. The company draws parallels to competitors like Sezzle Inc and Zip Co Ltd, the latter recently considering a NASDAQ dual-listing to attract offshore institutional investors.

Upgraded Advisory Agreement with EAS Advisors

In tandem with these developments, Ovanti has renegotiated its advisory agreement with EAS Advisors LLC, the firm guiding its NASDAQ listing and SPAC transaction efforts. The new terms include a monthly retainer of US$10,000 and the conditional issuance of 50 million unlisted options exercisable at A$0.015 within one year. These options will only be granted if EAS successfully introduces a SPAC deal valuing Ovanti at USD 300 million; a valuation representing a striking tenfold increase over Ovanti’s recent market capitalisation of USD 20-30 million.

Should the SPAC transaction reach completion, EAS Advisors’ retainer will double to US$20,000 monthly for two years, alongside a one-off success fee of US$200,000. Ovanti’s Chairman, Daler Fayziev, acknowledged the substantial nature of this remuneration package but emphasized the premium valuation hurdle that must be met, underscoring the company’s commitment to securing transformative capital market outcomes.

Strategic Implications and Market Positioning

Ovanti’s core fintech platform, which supports mobile banking and digital payments across Malaysia and Indonesia, is now expanding its BNPL services into the U.S. market. This strategic pivot necessitates access to deeper capital pools and enhanced market visibility, which a NASDAQ listing or SPAC transaction could provide. The company’s approach reflects a growing trend among Australian BNPL firms seeking to leverage U.S. capital markets to fuel growth and compete on a global stage.

While the path to a NASDAQ listing or SPAC deal remains contingent on successful negotiations and market conditions, Ovanti’s proactive engagement with multiple SPACs and the upgraded advisory mandate signal a serious commitment to this strategic direction. Investors will be watching closely for announcements of executed agreements or term sheets that could mark a turning point for the company’s valuation and growth trajectory.