Tyro (company)

Last updated

Tyro
FormerlyMoneySwitch Limited
Company type Public
ASX:  TYR
Industry
PredecessorMoneySwitch Limited
Founded3 February 2003;21 years ago (2003-02-03)
Founders
  • Andrew Rothwell
  • Paul Wood
  • Peter Haig
Headquarters
Sydney
,
Australia
Area served
Australia
Key people
Services
Revenue
  • Increase2.svg AUD$189,770,000
 (2019)
  • Increase2.svg AUD$83,260,000
 (2019)
  • Decrease2.svg AUD$ (18,397,000)
 (2019)
Total assets
  • Increase2.svg AUD$148,664,000
 (2019)
Total equity
  • Increase2.svg AUD$93,069,000
 (2019)
Number of employees
450 (2019)
Website tyro.com
Footnotes /references
"Tyro Annual Report 2019l" (PDF). Tyro Payments. Retrieved 19 December 2019.

Tyro Payments Limited (Tyro) is an Australian payments financial institution specialising in merchant credit, debit and EFTPOS acquiring.

Contents

History

Tyro Acquiring Volume Tyrovolume.png
Tyro Acquiring Volume

Tyro was founded in 2003 by Peter Haig, Andrew Rothwell and Paul Wood as MoneySwitch Ltd. Tyro was the first new entrant into the Australian EFTPOS business since 1996. [1] It was the second company in Australia to be granted a Specialist Credit Card Institution (SCCI) licence [2] after GE Capital.

In 2012, Tyro exceeded $3.5 billion of card transaction volume. [3]

In February 2017, Tyro became the first bank to implement payments via Siri. [4] At the same time, Tyro announced a partnership with Afterpay. [5]

In 2015, Tyro was granted a "banking licence", becoming an "Authorised Deposit taking Institution (ADI)". [6] It was the first Australian technology company to be granted this licence by the Australian Prudential Regulatory Authority. [7]

In October 2016, Tyro appointed Gerd Schenkel, founder of UBank and Telstra Digital as its new CEO. Gerd resigned in June 2017. In January 2018, Tyro appointed Robbie Cooke as CEO. Cooke was formerly managing director of Tatts Group. [8] In June 2022, Robbie Cooke resigned as CEO. [9] Jonathan (Jon) Davey was appointed as the new CEO on October 3. [10] Jon Davey had led Tyro’s health business unit, following Tyro’s acquisition of health fintech Medipass. [11]

In January 2021, Tyro experienced a terminal connectivity issue that impacted many of its merchants. [12]

On 15 January Tyro requested a trading halt on its shares on the same day a short selling firm, Viceroy Research, published a report alleging that a large number of terminals were taken down. [13]

Takeover battle

In September 2022, Tyro's shares rose 18% after the company received - and rejected - an unsolicited takeover bid from Private Equity company Potentia. [14]

In Dec 2022, Tyro's shares dropped 18% after Westpac ends its takeover bid of the company, after it had joined the process in October. [15] At the same time, Tyro announced that Potentia had raised its non-binding offer to $1.60, valuing the business at about $875 million. However, its Board rejected that offer.

On 22 May 2023, Tyro's shares dropped nearly 20% after it announced that Potentia had dropped their pursuit. [16]

Strategy

Tyro terminal used in cafe Tyro Terminal.jpg
Tyro terminal used in cafe

Tyro self-describes its strategy to compete with the major banks as "nextgen banking" focusing on Small and Medium Enterprises (SMEs). [17] [18] [19] [20]

As part of that, Tyro is lobbying for a more open data exchange in the traditional banking industry. [21]

See also

Related Research Articles

<span class="mw-page-title-main">EFTPOS</span> Type of Electronic Funds Transfer system

Electronic Funds Transfer at Point Of Sale, abbreviated as EFTPOS; is the technical term referring to a type of payment transaction where electronic funds transfers (EFT) are processed at a point of sale (POS) system or payment terminal usually via payment methods such as payment cards. EFTPOS technology was developed during the 1980s.

<span class="mw-page-title-main">AMP Limited</span> Financial services company in Australia and New Zealand

AMP is an Australian financial services company that operates in Australia and New Zealand providing superannuation and investment products, financial advice, and banking products through AMP Banking that includes home loans and savings accounts. Its is headquartered in Sydney, Australia. In addition it operates a global investment management business through its subsidiary AMP Capital.

The Australian financial system consists of the arrangements covering the borrowing and lending of funds and the transfer of ownership of financial claims in Australia, comprising:

Banking in Australia is dominated by four major banks: Commonwealth Bank, Westpac, Australia & New Zealand Banking Group and National Australia Bank. There are several smaller banks with a presence throughout the country which includes Bendigo and Adelaide Bank, Suncorp Bank, and a large number of other financial institutions, such as credit unions, building societies and mutual banks, which provide limited banking-type services and are described as authorised deposit-taking institutions (ADIs). Many large foreign banks have a presence, but few have a retail banking presence. The central bank is the Reserve Bank of Australia (RBA). The Australian government’s Financial Claims Scheme guarantees deposits up to $250,000 per account-holder per ADI in the event of the ADI failing.

<span class="mw-page-title-main">Westpac</span> Australian multinational bank

Westpac Banking Corporation, known simply as Westpac, is an Australian multinational banking and financial services company headquartered at Westpac Place in Sydney.

<span class="mw-page-title-main">BPAY</span>

BPAY is an Australian electronic bill payment SaaS company which facilitates payments made through a financial institution's online, mobile or telephone banking facility to organisations which are registered BPAY billers.

<span class="mw-page-title-main">OFX (company)</span> Australian foreign exchange and payments company

OFX, previously known as OzForex, is an Australian online foreign exchange and payments company with headquarters in Sydney. The company provides money transfer services to individuals such as migrants and expatriates and small businesses as well as providing white-label international transfer services for Travelex, MoneyGram, Xero, Capital One 360 and Macquarie Group.

Cuscal Limited is an Australian company that provides payments and data to Australian Banks, credit unions, mutual savings banks, corporates and Fintechs.

<span class="mw-page-title-main">Jumbo Interactive</span> Australian lottery company

Jumbo Interactive Limited is an Australian corporation and reseller of lottery games in Australia under agreement with government licensed lottery operator Tatts Group. Jumbo Interactive operates ozlotteries.com, one of Australia's largest e-commerce websites retailing Australian lotteries, such as Saturday Lotto, Oz Lotto and Powerball. Jumbo Interactive is a publicly listed corporation on the Australian Stock Exchange (ASX:JIN).

<span class="mw-page-title-main">Helia</span> Austrial mortgage insurance company

Helia is an Australian Lenders mortgage insurance provider. It is listed on the ASX and changed its name from Genworth Mortgage Insurance Australia in October 2022.

<span class="mw-page-title-main">Gerd Schenkel</span>

Gerd Schenkel is an Australian-German businessperson. He is the founder of UBank, former Chair of Credit Clear (ASX.CCR), a former non-executive Director of Helia (ASX.HLI), and Senior Adviser at Kearney, a global consultancy.

Pocketbook is a Sydney-based free budget planner and personal finance app launched in 2012. The app helps users setup and manage budgets, track spending and manage bills. Pocketbook is the first personal finance app in Australia to offer users the ability to manage their money through linking their bank accounts. As of 2016 Pocketbook claims to support over 250,000 Australians, in January 2018 that number was 435,000.

<span class="mw-page-title-main">Judo Bank</span>

Judo Bank is an Australian neobank focused on small and medium-sized enterprise lending but also offers a range of personal term deposit products to consumers.

Afterpay Limited is a multinational financial technology company owned by Block, Inc., best known for its buy now, pay later (BNPL) service. It was founded in Australia and also operates in the United Kingdom, Canada, the United States, and New Zealand. Afterpay was founded in 2014 by Nick Molnar and Anthony Eisen.

<span class="mw-page-title-main">Zip Co</span> Australian financial technology company

Zip Co Limited is a digital financial services company with operations in Australia, New Zealand and the USA. According to their FY24 Annual Results, across the group they had 6.0 million active customers, total transaction volume of A$10.1 billion, revenue of A$868.0m, and cash gross profit of A$372.9m.

Credible Labs Inc., commonly known as Credible, is a financial technology company headquartered in San Francisco. The company also does business through its subsidiary Credible Operations, Inc. Its online marketplace offers consumers the ability to compare and refinance loans, mortgages, and other financial products from lenders. Credible became a subsidiary of Fox Corporation in 2019. In December 2021, Credible acquired digital insurance platform Young Alfred, adding various kinds of insurance including home, auto, and pet to its platform.

Sezzle is a publicly traded financial technology company headquartered in Minneapolis, U.S, with operations in the United States and Canada. The company provides an alternative payment platform offering interest-free installment plans at selected online stores. As of June 2021, the Sezzle platform had over 10 million user sign-ups and over 48,000 participating merchants.

<span class="mw-page-title-main">Openpay</span> Australian fintech company

Openpay Group, commonly referred to by its trading name Openpay, is an Australian fintech company that operates in the "Buy now, pay later" field and provides online financial services and post purchase payments. Their core service is designed to allow customers to pay for items purchased using interest-free installments.

<span class="mw-page-title-main">Stake (platform)</span> Financial services company (e. 2017)

Stake is an Australian financial services company headquartered in Sydney, Australia. It was founded in 2017 by Matt Leibowitz, Dan Silver and Jon Abitz. Stake predominately offers low-cost brokerage services to retail investors in Australia, New Zealand, Brazil and the United Kingdom.

Fintech in Australia is the evolving intersection of financial services and advanced technology in the Australian market. It involves innovations in banking, investment, insurance, and personal finance, facilitated by technologies such as blockchain and artificial intelligence.

References

  1. ↑ "Submission to the Financial System Inquiry" (PDF). Fsi.gov.au. Retrieved 5 December 2018.
  2. ↑ "Pages - List of Authorised Deposit-taking Institutions". Apra.gov.au. Retrieved 26 November 2015.
  3. ↑ "Independent eftpos provider Tyro surpasses $3.5 billion in transactions". SmartCompany.com.au. 28 January 2013. Retrieved 5 December 2018.
  4. ↑ Yoo, Tony (22 February 2017). "Tyro now lets customers make payments with voice commands via Apple Siri". Business Insider Australia. Archived from the original on 23 February 2017. Retrieved 5 December 2018.
  5. ↑ "Afterpay and Tyro announce SME payments partnership". Australian Financial Review. 8 February 2017. Retrieved 5 December 2018.
  6. ↑ "Pages - List of Authorised Deposit-taking Institutions". Archived from the original on 30 July 2014. Retrieved 1 November 2016.
  7. ↑ "ADAPT Tyro Payments poised for breakout growth, driven by innovation". ADAPT. 12 May 2019. Retrieved 11 February 2021.
  8. ↑ "Tatts' Robbie Cooke to join new bank Tyro". Australian Financial Review. 22 January 2018. Retrieved 5 December 2018.
  9. ↑ "Tyro Payments (ASX:TYR) CEO Robbie Cooke leaves to Star Entertainment Group (ASX:SGR)". The Market Herald. 29 June 2022. Retrieved 3 November 2022.
  10. ↑ "Tyro Payments (ASX:TYR) appoints Jonathan Davey as CEO". The Market Herald. 15 September 2022. Retrieved 3 November 2022.
  11. ↑ "Tyro buys Medipass health payment app from NAB Ventures". Australian Financial Review. 10 May 2021. Retrieved 3 November 2022.
  12. ↑ "Message in a (Word)Cloud". www.spglobal.com. Retrieved 11 February 2021.
  13. ↑ Viceroy Research (15 January 2020). "Tyro by name, Tyro by nature" (PDF). Viceroy Research. Retrieved 23 June 2022.
  14. ↑ https://www.theaustralian.com.au/subscribe/news/1/?sourceCode=TAWEB_WRE170_a_GGL&dest=https%3A%2F%2Fwww.theaustralian.com.au%2Fbusiness%2Fpotentias-alan-gray-tim-reed-swoop-on-tyro-payments%2Fnews-story%2F3364ef24657443e7fe5e10a88e964140&memtype=anonymous&mode=premium&v21=GROUPA-Segment-1-NOSCORE&V21spcbehaviour=append
  15. ↑ https://www.smh.com.au/business/banking-and-finance/westpac-walks-away-from-cannon-brookes-backed-tyro-payments-20221212-p5c5ih.html
  16. ↑ https://www.reuters.com/markets/deals/tyro-payments-ends-buyout-discussions-with-potentia-after-rejecting-a875-million-2023-05-21/
  17. ↑ Mitchell, James (16 May 2016). "Big four could become big three: Tyro Payments". Investordaily.com.au. Retrieved 5 December 2018.
  18. ↑ Shapiro, Shaun Drummond, Jonathan (30 November 2015). "Tyro's Jost Stollman wants to beat the big banks at small lending". The Sydney Morning Herald . Retrieved 5 December 2018.{{cite news}}: CS1 maint: multiple names: authors list (link)
  19. ↑ "ITWire - A $7 billion hit on SMEs, economy from banking 'red tape' says Tyro". Archived from the original on 4 November 2016. Retrieved 1 November 2016.
  20. ↑ "Fintech specialists say 'NextGen banking' may replace Big Four". Cio.com.au. Retrieved 5 December 2018.
  21. ↑ "Tyros New Boss Gerd Schenkel Says Fintech Revolution Mostly Hype". Myaccount.news.com.au. Retrieved 5 December 2018.
This page is based on this Wikipedia article
Text is available under the CC BY-SA 4.0 license; additional terms may apply.
Images, videos and audio are available under their respective licenses.