Ovanti Ends BNPL Operations Worldwide, iSentric Generates A$3.58 Million in FY26
3 min read
10:06am on Thursday 20th of August, 2026 AEST ~10am, 20th Aug, 26
Ovanti Limited has announced a complete global exit from the Buy Now Pay Later sector, ceasing all BNPL activities and shifting its focus to its established iSentric business in Southeast Asia, alongside significant cost reductions and imminent legal action against its former US BNPL CEO.
- Global exit from BNPL operations
- Substantial cost reductions implemented
- Focus shifted to iSentric business with A$3.58 million FY26 revenue
- US BNPL entity remains under Chapter 7 bankruptcy
- Legal proceedings against former US BNPL CEO Peter Maher
Complete Withdrawal from BNPL Sector
Ovanti Limited (ASX:OVT) has decisively abandoned its Buy Now Pay Later (BNPL) ambitions worldwide, scrapping all BNPL products and plans, including the previously announced relaunch of IOUPAY and myIOU in Asia. This strategic pivot follows a comprehensive review by management, which concluded that further investment in BNPL is no longer in shareholders' best interests.
The company’s US BNPL operations remain mired in Chapter 7 bankruptcy proceedings, underscoring the challenges that weighed heavily on the decision to exit the sector entirely. Ovanti will continue cooperating with these legal processes as required.
Cost-Cutting Measures Target Legacy US Operations
In the wake of its BNPL exit, Ovanti has implemented substantial cost reductions, notably slashing staff and consultant numbers tied to its former US BNPL business. Non-core expenses have been eliminated, and the group-wide reliance on external consultants has been curtailed to sharpen operational efficiency. These measures aim to conserve capital and focus resources on immediate revenue-generating activities.
Refocused Growth on iSentric in Southeast Asia
With BNPL behind it, Ovanti is now concentrating exclusively on its iSentric business, a fintech platform offering mobile banking, authentication, digital payments, and transaction processing services primarily across Asia. The iSentric segment generated approximately A$3.58 million in revenue during FY26, providing a stable foundation for growth.
The company is prioritising expanding services to existing clients, winning new institutional customers, and pursuing near-term revenue opportunities. This renewed focus on Southeast Asia follows the company’s withdrawal from the costly US market, aiming to capitalise on regional growth potential.
Legal Action Against Former US BNPL CEO
Ovanti has engaged external legal counsel to initiate formal proceedings against Peter Maher, the former CEO of its US BNPL subsidiary. The litigation, expected to commence imminently, seeks to recover losses, damages, and costs associated with the failed US BNPL venture. The company is also reviewing the relevant directors’ and officers’ insurance policies to determine potential coverage for claims arising from Maher’s conduct.
Bottom Line?
Ovanti’s exit from BNPL and focus on iSentric marks a critical reset, but the financial impact of ongoing legal action and the success of its Southeast Asian pivot remain to be seen.
Questions in the middle?
- How will Ovanti’s legal proceedings against Peter Maher affect its financial position?
- Can iSentric scale rapidly enough to offset the loss of BNPL revenue?
- What are the risks and opportunities in Southeast Asia’s fintech market for Ovanti?
