Source: Monitise
Monitise plc ('Monitise'), the global leader in the provision of mobile banking and payments services, is pleased to announce the completion of the Software License Agreement with Monitise Americas (Monitise Americas), a joint venture company between Monitise and Metavante Corporation ('Metavante'), the banking and payments technology subsidiary of Marshall & Ilsley Corporation (NYSE: MI).
The license allows the use of Monitise's mobile banking and payments software to create a mobile banking and payments ecosystem for the United States and Canada.
In accordance with the memorandum of understanding agreed with Metavante in March 2007, the license has been granted to Monitise Americas with an ongoing annual licence fee of US$1.5m. In addition, royalties measured against volume thresholds will be payable up to a maximum of US$20m (inclusive of license fees and royalties). Following this, royalty fees cease but the US$1.5m annual license fee obligation continues. The license commences on 1st October and a fee of US$375k is now payable for the final quarter of 2007, with the first full annual license fee due in January 2008.
Commenting on today's announcement, Alastair Lukies, chief executive of Monitise plc said: "The announcement today demonstrates the progress that we are continuing to make and the appeal of our technology in international markets. Monitise Americas is already well advanced in terms of the delivery of mass-market mobile banking and payments technology to financial institutions in the United States and we look forward to launching services later this year."