China Rapid Finance Ltd. appointed CFO Steven Foo as an executive director and Edward Yan as an independent director of the board, effective April 12.
Meanwhile, Zhou Ji'an resigned as a board member due to personal reasons, effective April 29.
China Rapid Finance, an online consumer finance marketplace and technology platform based in Shanghai, also plans to implement changes in its business operations due to the challenging regulatory environment. The company plans to focus on facilitating loans through its micro-credit company as well as to market its decision-science software to banks and other credit intermediaries.
Chinese regulators have instructed domestic peer-to-peer platforms to reduce their outstanding loan balances as well as the number of borrowers and lenders.
As a result, China Rapid Finance has informed the lenders on its platform that it is transitioning to a monthly payment plan repayment structure from one that required full redemption when due, as a result of insufficient demand for loan products. The company has also set up an exchange for investors that prefer to sell their loans.
Further, China Rapid Finance said it was notified by the New York Stock Exchange that it was not in compliance with the exchange's continued listing standards after it failed to file its annual report on a timely basis.
The company said the delay in filing the annual report was a result of recent changes in finance department personnel, as well as because of the need to resolve issues relating to the variable interest entity's financial statements, which will likely lead to restating previous financial statements.