Chinese fintech provider PINTEC Group announced Dumiao, its wholly owned digital lending technology subsidiary, has successfully issued RMB245 million worth of asset-backed securities on the Shanghai Stock Exchange, the first such issuance by a digital lending technology provider. Underwritten by CITIC Securities, the securities are backed by installment payments facilitated by Dumiao on online travel platform Qunar’s installment payment service Naquhua. Dumiao supplies Qunar with digital lending technology.
Naquhua customers receive 30 days with no interest charges or installments of up to 12 months when they book travel on Qunar.
“The public listing of Dumiao’s ABS is a recognition of our risk management capabilities by institutional investors and the market, as public ABS offerings have much higher requirements for underlying assets and compliance,” PINTEC Group CEO William Wei said. “With its advantages in technology and big data, Dumiao can help improve the efficiency of loan underwriting, automate credit decisions and mitigate risk.”
Dumiao debuted two years ago and has facilitated loans for more than five million Chinese consumers. It processes more than two million applications each month.