UK challenger bank Tandem is to expand into Hong Kong, having secured a £15 million tech-licencing deal with retail financial services company Convoy.
Convoy's intention is to utilise Tandem’s technology to offer digital financial services to Hong Kong consumers and, in time, to launch a virtual bank, depending on regulatory approval and the grant of a banking licence. The partnership with Tandem builds on Convoy's existing investments in Nutmeg in the UK and CurrencyFair in the Republic of Ireland.
Ng Wing-Fai, group president and executive director of Convoy, says: “Spearheaded by Michael Yap, our head of venture capital, Convoy has been actively developing our fintech initiatives over the past three years. By securing a series of strategic fintech investments, we are now fully equipped to achieve our business vision to provide innovative services and experience to both current and prospective customers. Our partnership with Tandem is the culmination of an intense research and negotiation process.”
He says that Tandem will collaborate with Nutmeg and CurrencyFair on the build-out and seek to identify further opportunities for growth in Hong Kong and the rest of Asia.
"We shall focus in the coming months on integrating these partnerships, but we remain on the lookout for new ideas and collaborations to bring further value to our customers.”