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The two companies have entered a binding agreement, with Cuscal acquiring a controlling interest in Basiq.
According to Basiq, a Consumer Data Right (CDR) platform that provides data services to over 150 businesses from fintech start-ups to large institutional banks, the acquisition by Cuscal Limited (a provider of payments, banking, and regulated data) brings “positive news” to the recent investment downturn while providing “hope for local homegrown start-ups”.
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The acquisition by Cuscal allows Basiq to be able to create a one-stop shop for fintechs to provide them with the tools they need to accelerate the development of their application and deliver value to their end consumers.
For Cuscal, the agreement will allow them to provide clients with the data services required to adopt open banking capabilities to support them in understanding their customers and provide more “engaging and relevant services”.
Basiq was enabled to grow in the Australian market due to the development of the CDR by the Treasury, which allowed it to take advantage of the opportunities to use more reliable means to access data via open banking.
Basiq will continue its operations independently and will be encouraged to utilise the capabilities provided by Cuscal.
Basiq’s chief executive and founder Damir Cuca stated a pathway was needed to develop strong payment capabilities.
“To provide a complete platform, it was inevitable that Basiq would need to enhance its payment services,” Mr Cuca stated.
“Cuscal is behind most of the innovative payment services in Australia and was the first to launch PayTo capability to the market, making it possible to use the new payment services that provide real-time account-to-account payments.”
Cuscal managing director Craig Kennedy said he was impressed with Basiq’s ability to “execute and present complex services such as data in a simple and developer-friendly way”.
“Basiq has taken the SaaS playbook to heart, ensuring that their customers have the services they need to plug and play and help launch their apps to market with relative ease,” Mr Kennedy concluded.
“With the acquisition of Basiq, we will be able to add the new data capabilities that will enable them to enhance the delivery of their current services.”
Basiq launches open banking awareness campaign
Late last year, Basiq launched a campaign to encourage businesses to quickly move to open banking and reduce their reliance on web connectors.
The campaign ‘Commit to Open Banking’ highlighted that only 88 businesses have signed up to open banking, however, given the surge in cyber attacks and online fraudulent activity in recent months, many lenders are less open to third-party ‘web connectors’.
[RELATED: Open banking awareness campaign launches]
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