Credit Bureau Asia Limited Faces Shareholder Queries Over Licensing, Business Operations, and Governance

Credit Bureau Asia Limited (TCU) is set to address shareholder concerns over its licensing, business operations, and governance at its upcoming annual general meeting (AGM) on April 25, 2025. The company’s subsidiary, Credit Bureau (Singapore) Pte Ltd (CBS), has been granted a license by the Monetary Authority of Singapore (MAS) to carry on a consumer credit reporting business, effective April 1, 2025.

Key Points:

CBS has been licensed by MAS for consumer credit reporting, sparking questions on whether this license is new and distinct from existing licenses held by the group.
The license may enable CBS to broaden its services or offerings, but management has been asked to clarify the implications of this development.
Shareholders are seeking greater clarity on the company’s innovation pipeline, macroeconomic volatility, Vietnam market entry, and cash and capital allocation.

Important Matters for Shareholders:

The company’s dual business segments – financial institutions (FI) data business and non-FI data business – serving both consumer and commercial credit risk segments, may be impacted by the new license.
Shareholders are concerned about the potential impact of a global economic slowdown on the company’s FI and non-FI businesses, and which business segments and geographic regions are more vulnerable.
The company’s progress in establishing operations in Vietnam, following a memorandum of understanding (MoU) with FiinGroup JSC four years ago, is under scrutiny.

Governance Concerns:

The attendance of directors at board and board committee meetings has raised concerns, with executive chairman Mr. Kevin Koo absent from a board meeting he chairs, and director Mr. Low Seow Juan missing several meetings.
Shareholders are seeking clarification on the extenuating circumstances surrounding these absences and whether the absent directors participated remotely via tele- or videoconferencing.

Potential Impact on Share Price:

The outcome of the AGM and the company’s responses to shareholder queries may have a potential impact on the share price of Credit Bureau Asia Limited. Investors may be closely watching the company’s progress in addressing concerns over licensing, business operations, and governance.

Disclaimer:

This article is for informational purposes only and should not be considered as investment advice. Readers should do their own research and consult with a financial advisor before making any investment decisions. The information contained in this article is based on publicly available data and may not reflect the current market situation.

View CreditBureauAsia Historical chart here