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Borrowings

6 Months Ended

Dec. 31, 2021

Borrowings [Abstract]

8.Borrowings

Refer to Note 11 to the Company’s audited consolidated financial statements included in its Annual Report on Form 10-K for the year ended June 30, 2021, for additional information regarding its borrowings.

South Africa

July 2017 Facilities, as amended, comprising long-term borrowings (all repaid) and a short-term facility (Facility E)

Available short-term facility - Facility E

As of December 31, 2021, the aggregate amount of the Company’s short-term South African overdraft facility with RMB was ZAR 1.4 billion ($87.9 million, translated at exchange rates applicable as of December 31, 2021). As of December 31, 2021, the Company had utilized approximately ZAR 0.8 billion ($48.0 million) of this overdraft facility. This overdraft facility may only be used to fund ATMs and therefore the overdraft utilized and converted to cash to fund the Company’s ATMs is considered restricted cash. The interest rate on this facility is equal to the prime rate. The prime rate on December 31, 2021, was 7.25%, and increased to 7.50% on January 28, 2022, following an increase in the South African repo rate.

Nedbank facility, comprising short-term facilities

As of December 31, 2021, the aggregate amount of the Company’s short-term South African credit facility with Nedbank Limited was ZAR 406.6 million ($25.5 million). The credit facility comprises an overdraft facility of up to ZAR 250.0 million ($15.7 million), which may only be used to fund mobile ATMs and indirect and derivative facilities of up to ZAR 156.6 million ($9.8 million), which include guarantees, letters of credit and forward exchange contracts. The Company has entered into cession and pledge agreements with Nedbank related to certain of its Nedbank credit facilities (the indirect and derivative facility) and the Company has ceded and pledged certain bank accounts to Nedbank. The funds included in these bank accounts are restricted as they may not be withdrawn without the express permission of Nedbank. These funds, of ZAR 156.6 million ($9.8 million translated at exchange rates applicable as of December 31, 2021), are included within the caption restricted cash related to ATM funding and credit facilities to the Company’s unaudited condensed consolidated balance sheet as of December 31, 2021. As of December 31, 2021, the interest rate on the overdraft facility was 6.10%, and increased to 6.35%, on January 28, 2022, following an increase in the South African repo rate.

As of December 31, 2021 and June 30, 2021, the Company had utilized approximately ZAR 156.6 million ($9.8 million) and ZAR 156.6 million ($10.9 million), respectively, of its indirect and derivative facilities of ZAR 156.6 million (June 30, 2021: ZAR 156.6 million) to enable the bank to issue guarantees, letters of credit and forward exchange contracts, in order for the Company to honor its obligations to third parties requiring such guarantees (refer to Note 19).

Movement in short-term credit facilities

Summarized below are the Company’s short-term facilities as of December 31, 2021, and the movement in the Company’s short-term facilities from as of June 30, 2021 to as of December 31, 2021, as well as the respective interest rates applied to the borrowings as of December 31, 2021:

							South Africa						Total
						RMB			Nedbank
	Short-term facilities available as of December 31, 2021					$	87,881		$	25,520		$	113,401
		Overdraft restricted as to use for ATM funding only					87,881			15,693			103,574
		Indirect and derivative facilities					-			9,827			9,827

	Interest rate (%), based on South African prime rate						7.25
	Interest rate (%), based on South African prime rate less 1.15%									6.10

	Movement in utilized overdraft facilities:
		Balance as of June 30, 2021					14,245			-			14,245
			Utilized				310,001			1,349			311,350
			Repaid				(270,354)			(1,322)			(271,676)
			Foreign currency adjustment⁽¹⁾				(5,932)			(27)			(5,959)
				Balance as of December 31, 2021			47,960			-			47,960
					Restricted as to use for ATM funding only		47,960			-			47,960

	Movement in utilized indirect and derivative facilities:
		Balance as of June 30, 2021⁽²⁾					-			10,947			10,947
			Foreign currency adjustment⁽¹⁾				-			(1,120)			(1,120)
				Balance as of December 31, 2021⁽²⁾		$	-		$	9,827		$	9,827

(1) Represents the effects of the fluctuations between the ZAR and the U.S. dollar.