Findi Ltd – Fund Manager Investment Commentary & Insights

In January 2026, DMX Asset Management commented that it sold its remaining position (<1%) in Findi Ltd (ASX:FND), citing a stretched balance sheet that required a substantial, highly dilutionary recapitalisation, weak recent cash flows and earnings, and a loss of conviction in the company relative to other opportunities. Across fund manager commentary, the consensus is that Findi Ltd (ASX:FND) operates a high‑growth Indian ATM and payments business with clear structural tailwinds—interchange fee increases, a large underserved market, and product expansions such as white‑label services and BC Max banking centres—that support management’s aggressive revenue and EBITDA ambitions and the plan for a local IPO, but recent months have shifted sentiment toward caution as execution and financing risks have risen; managers highlighted the March 2025 A$45m capital raise and convertible note renegotiation that reduced annual interest by ~A$6m and increased potential ownership of the Indian subsidiary to ~78%, interchange changes from 17Rs to 19Rs and projected EBITDA uplifts (>A$5.5m in FY26 and >A$10m in FY27) and a FY27 free cash flow target of A$50m+, and also noted indications of an Indian IPO pre‑money range around A$727m–926m, yet later updates showed delayed guidance, a weak FY26 forecast, public management disputes, continued share price pressure and balance sheet strain that have prompted downgrades and position reductions; actionable considerations are to monitor delivery on BC Max and white‑label rollouts and integration of acquisitions, recovery in cash flow and operating margins (management has suggested >30% EBITDA is achievable at scale), clarity on IPO timing, size and dilution implications, the terms of any further recapitalisation or refinancing to limit shareholder dilution, and near‑term market comparables and sentiment that will materially impact valuation and the feasibility of the targeted local market IPO.