Splitit Payments Ltd (ASX: SPT) announced a new hire today to lead the North American operations, sending the share price nearly 5% higher. Can this turn Splitit shares around?
About Splitit
Splitit offers consumers the ability to split the purchase price of basic products (e.g. lemons, toilet paper or both). Shoppers can split their purchases into up to 36 interest-free monthly payments using their existing Visa or Mastercard.
New Managing Director
Brad Paterson has been appointed as the new Managing Director, North America to lead Splitit’s North American operations. Mr Paterson is the former Vice President of Marketing at Intuit (NASDAQ: INTU), a US$63 billion financial software company, and has also worked for Paypal Holdings Inc (NASDAQ: PYPL) and Visa Inc (NYSE: V).
Mr Paterson steps into the role to boost Splitit’s profile in the North American market, following the entry of fellow ASX payments company Afterpay Touch Group Ltd (ASX: APT).
Speaking about the opportunity, Mr Paterson said, “Splitit offers a unique and innovative solution that not only acts as a risk-and-debt-free payment option but compliments other available offerings.”
Splitit CEO and Co-Founder Gil Don said, “We have great plans for North American retailers and consumers, and we believe there is no one better for the role.”
Is Splitit a Buy?
It’s certainly an advantage to have someone with extensive experience in the North American payments industry join the team and investors have responded positively to the news, sending the share price higher this morning.
The key for Splitit will be to establish market share as soon as possible before other competitors like Afterpay take control of the space.
As for whether this can turn around the 34% decline that the Splitit share price has experienced over the last month, only time will tell.
For now, I’d be more comfortable investing in one of the growth shares mentioned in the free report below.
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Disclosure: At the time of writing, Max does not own shares in any of the companies mentioned.
