Mobile payment and banking company Monitise announced yesterday a huge deal with credit cards giant Visa.
The Uk -based company has created the world’s first mobile banking networks, which allow customers of multiple banks and mobile operators to perform banking and payment transactions directly from their mobile handset.
The deal is comprised of a strategic and development partnership and is valued at £5.1 Millions. Visa International will own 14.4% of the enlarged issued share capital of Monitise. Visa will also be granted a seat on the advisory board, with the power to nominate a representative on the main board.
“With the ever expanding growth in handsets coupled with increasing sophistication of mobile networks, mobile payments and services present significant opportunity for Visa as we continue to develop new ways to bring the benefits of Visa electronic payments to more people in more places.” said Tim Attinger, Head of Global Product Innovation, Visa Inc. ”In aligning with Monitise, we expect to expand the delivery of Visa mobile services to consumers around the globe, enabling them to seamlessly use their mobile phones to purchase goods and services, make payments, receive valuable information and offers, and transfer money between accounts, in a safe and secure manner.”
The £5.1m raised, together with existing cash reserves of about £10m will provide Monitise with total cash of approximately £15m immediately following completion. That’s a lot of money in this economy, I think we will hear a lot more from them as they are also looking for more strategic partnerships in every continent.
Alastair Lukies, Chief Executive Officer, Monitise commented: ”Visa is the world’s most trusted, inclusive and innovative payments network. This alliance validates our unwavering commitment to building truly accessible, inclusive and reliable services over the past seven years. It is a landmark announcement in the mobile payment space and we are excited to collaborate with the world’s foremost payments company to accelerate the convergence of payments services and mobile devices.”
“We are also proud to welcome Tim Attinger to our Advisory Board; his deep payments and mobile expertise will make him a valued member to our key contributing body.” Lukies concluded.
The guys over at Smarta have got a nice interview with Lukies.