(Reuters) – Australian fintech company Humm Group said on Friday its unit got an interim stop order from the country’s corporate regulator restricting it from issuing buy-now-pay-later products to new customers.
The interim stop order relates to Australian Securities and Investments Commission’s (ASIC) concerns regarding the target market determination for the company’s buy-now-pay-later products, Humm said in a statement.
The company said it is complying with the requirements of the order, adding that it can continue to service existing customers to whom the product has already been provided.
Humm is Australia’s third-largest BNPL provider with about 14% market share, according to IBIS World.
“Hummgroup is seeking to work closely with ASIC to urgently address the concerns raised in relation to the humm BNPL target market determination,” the company said.
ASIC did not immediately respond to a request for comment.
(Reporting by Riya Sharma in Bengaluru; Editing by Devika Syamnath)
