Mogo Finance Technology became the first online lender in Canada to become a publicly-listed company last month but shares have failed to ignite. The IPO saw the lender’s shares at $10 but they have now dropped back to around $6. However the company has big plans including entering the mortgage market; currently its main business is short-term loans.
The company sees its online platform as being particularly attractive to millennials who are increasingly living their lives online. The move into small business loans and mortgages are part of its strategy to become a “next generation bank.” CEO Dave Feller told the Globe and Mail that the financial industry is yet to see the impact of financial tech firms: “This is where the market is going, especially for the millennial generation – they will want their financial solutions delivered digitally, on demand.”
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