25 February 2018
Visit www.capgemini.com/worldreports

Monitise prepares for growth with new investment and partnerships

17 December 2009  |  10135 views  |  0 Iphone screen close up

Mobile money outfit Monitise has raised £15.8 million in funding and struck two new partnerships it hopes will help build its presence in the retail sector and Asia Pacific. The company also says it is on track to meet full year revenue expectations after record consumer uptake.

The UK-based firm has inked a heads of terms for a joint venture with First Eastern, a subsidiary of Hong Kong's First Eastern Investment Group. The partners will work to deploy mobile banking and payments services in Hong Kong, China and other territories in Asia Pacific, with the first offerings expected to be available through banks and financial institutions to consumers next year.

Victor Chu, chairman, First Eastern, says: "This will be a fantastic growth opportunity for both First Eastern and Monitise in view of the vast market potential here for value added services and products introduced by a proven mobile banking and payments platform. With First Eastern's extensive network and investment expertise, I am confident that we will contribute significantly as Monitise rolls out its ambitious expansion plans across the Asian region."

A separate heads of terms agreement has been signed with UK handset retailer The Carphone Warehouse. The two plan to establish a network to extend mobile banking and payments into the world of retail. The Mobile Money Network will be open initially to participants in the UK, before being rolled out into Europe and the USA.

It aims to enable tens of millions of consumers to sign up to mobile banking services, buy goods and services from network members, to send money to their friends and family including those in other countries, to top up their pre-paid and loyalty cards and to top up their mobile phones, all from an app on their handset.

The first services are expected to be available to consumers in early 2010. The Carphone Warehouse retail business in the UK, which has over 800 stores, will become the first retail partner of the joint venture.

Andrew Harrison, CEO, The Carphone Warehouse, says: "We are entering the era of true mobility, where people can shop, buy and pay on the move. The Mobile Money Network is designed to open up this new world to everybody and we hope that many retailers will join so that we can offer people simple, secure, mobile shopping, from a single Mobile Application."

Both First Eastern and The Carphone Warehouse are also subscribing to new ordinary shares in Monitise.

First Eastern is subscribing for £5 million of shares at 13 pence a piece and agreed to take an additional £2.5 million at 13 pence per share upon completion of the JV. The Carphone Warehouse will subscribe for £2.5 million of new ordinary shares at 15 pence per share on completion of the Mobile Money Network JV. Existing major shareholders Visa, UBS and Standard Chartered Bank are also supporting the subscriptions.

Meanwhile, the company expects half year revenue to jump 55% on the same period last year to over £1.7 million. Transaction revenue for the half year of around £0.8 million is a four fold increase on the equivalent period last year. Operating losses will depend on additional deals still being negotiated and include the impact of buying out its Monilink joint venture.

Alastair Lukies, CEO, Monitise, comments: "Monitise has reached a point of significant momentum. These new partnerships, together with the investments and full support of our existing strategic shareholders, validate our market leading status and position us very well to take the business through to profitability. People everywhere will be able do their banking, shopping and make payments from their mobiles as easily as they can talk and text."
KeywordsFINDEX

Comments: (0)

Comment on this story (membership required)

Finextra news in your inbox

For Finextra's free daily newsletter, breaking news flashes and weekly jobs board: sign up now

Related stories

US mobile finance approaches tipping point - research

US mobile finance approaches tipping point - research

03 December 2009  |  9222 views  |  0 comments
Travelex taps Monitise to power mobile money services

Travelex taps Monitise to power mobile money services

30 November 2009  |  8224 views  |  0 comments
Cgap examines the future of mobile banking

Cgap examines the future of mobile banking

20 November 2009  |  10145 views  |  1 comments
Monitise sales surge; pledges to double revenues in FY10

Monitise sales surge; pledges to double revenues in FY10

25 August 2009  |  6714 views  |  0 comments
Monitise takes full control of Monilink network

Monitise takes full control of Monilink network

24 August 2009  |  13156 views  |  0 comments
Visa signs $13 million deal and takes minority stake in Monitise

Visa signs $13 million deal and takes minority stake in Monitise

30 June 2009  |  11972 views  |  1 comments
Monitise and Carphone Warehouse form m-banking alliance

Monitise and Carphone Warehouse form m-banking alliance

19 March 2009  |  9736 views  |  0 comments
Monitise sets up Indian unit; lines up investors

Monitise sets up Indian unit; lines up investors

13 March 2009  |  11814 views  |  0 comments
Monitise partners E-Fulusi to develop East African m-banking service

Monitise partners E-Fulusi to develop East African m-banking service

23 February 2009  |  8218 views  |  0 comments
Monitise full year pre-tax loss widens

Monitise full year pre-tax loss widens

21 August 2008  |  6800 views  |  0 comments
Monitise to raise £11.8m

Monitise to raise £11.8m

23 June 2008  |  7659 views  |  0 comments
Monitise targets East African market with JV

Monitise targets East African market with JV

15 May 2008  |  9894 views  |  0 comments
Monitise sees H1 losses widen on product development costs

Monitise sees H1 losses widen on product development costs

08 February 2008  |  6008 views  |  0 comments
Visa and Monitise team on mobile pre-paid account service

Visa and Monitise team on mobile pre-paid account service

20 November 2007  |  8001 views  |  0 comments
Morse to raise £20m in placing of Monitise shares

Morse to raise £20m in placing of Monitise shares

08 June 2007  |  9411 views  |  0 comments

Related company news

 

Related company information

Standard Chartered Bank

Related blogs

Create a blog about this story (membership required)
Visit www.vasco.comvisit www.swift.com/your-needs/instant-paymentsVisit http://info.nice.com

Top topics

Most viewed Most shared
Ripple makes new connections to emerging marketsRipple makes new connections to emerging m...
12160 views comments | 16 tweets | 10 linkedin
hands typing furiouslySome Interesting Applications Of The Inter...
10494 views 4 | 9 tweets | 1 linkedin
Basel Committee outlines disruptive fintech scenariosBasel Committee outlines disruptive fintec...
8884 views comments | 15 tweets | 26 linkedin
Investment Association sets up fintech accelerator for asset managersInvestment Association sets up fintech acc...
8331 views comments | 19 tweets | 10 linkedin
R3 creates Legal Centre of Excellence for blockchain technolgyR3 creates Legal Centre of Excellence for...
7947 views comments | 10 tweets | 14 linkedin

Featured job

Find your next job