Austin-based NetSpend Holdings Inc. has postponed its $200 million-plus stock that is initial as a result of regulatory dilemmas relating to the main provider of this prepaid debit cards NetSpend areas.
NetSpend was in fact likely to expense the providing Thursday and begin shares that are selling the general public this morning.
Analysts had stated the providing will be well-received as a result of NetSpends position within the fast-growing marketplace for prepaid debit cards, for which it really is a leading provider.
Nevertheless the providing happens to be postponed until in a few days, based on IPOhome.com, which tracks the marketplace for initial offerings, as well as the Wall Street Journal.
NetSpend didn’t return requires remark.
A key supplier, had been ordered by federal regulators Wednesday to halt a payday loan program and seek advance approval for any Livingston payday loans no credit check new or amended third-party agreements, including for prepaid cards in a securities filing Thursday, NetSpend said that MetaBank. Any office of Thrift Supervision stated MetaBank had used misleading methods within the loan program that is payday.
MetaBank, situated in Storm Lake, Iowa, provides 71 per cent for the prepaid cards that NetSpend distributes nationwide through grocery, check-cashing shops along with other outlets. NetSpend has about 2.1 million cards that are active.
NetSpend said MetaBanks problems wont affect its operations or funds, however it stated that future actions that are regulatory MetaBank could force it to locate another card provider. Read More