African Rainbow Capital forced to tinker with TymeBank strategy
The lockdown has delayed the launch of credit products and could mean the new bank will take longer to break even
African Rainbow Capital Investments (ARC) says it has adapted the strategy of its majority-controlled investment in TymeBank to delay the launch of a range of credit products as a result of the coronavirus pandemic and expects the bank to break even at a later date.
“We revisited the strategy in light of the pandemic and decided to put the launch of credit products which comprise unsecured loans and credit cards on the back burner. This will decrease the amount of money we expect to invest in the business moving forward, but it most likely will delay the time it takes for TymeBank to break even,” said ARC Investments co-CEO Johan van der Merwe.