The agreement follows on from the Heads of Terms announced on 17 December 2009 and represents a significant opportunity for Monitise to extend its Mobile Money Manager technology platform into these key strategic markets.

First Eastern has extensive reach from its Hong Kong base into China and throughout Asia, and the Joint Venture will build on the substantial potential from First Eastern's wealth of contacts and outstanding track record of investing in and helping grow world class businesses.

Monitise will provide its industry leading technology to the Joint Venture and the first services are expected to be live in Hong Kong in the second half of 2010.

Over the past six years, Monitise has developed a very broad range of mobile banking and payments services which are enjoying real success in both Europe and North America. Already, Monitise has over two million registered customers and the live services it offers to them include checking balances, being alerted to transactions on their accounts, paying bills and sending money to friends and family around the world, all securely from a mobile phone. Each of these existing services will be available to the Joint Venture and a range of new ones will be developed in line with consumer demand and local market requirements.

Victor Chu, chairman of First Eastern, said, "We are delighted to launch our Joint Venture with Monitise in the Asia Pacific region. Their technology and expertise will enable us to rapidly exploit the huge potential for mobile financial services in the extremely fast growing Asia market. Our investment will bring new and exciting services to the region and we are delighted to partner with such a progressive and well respected company as Monitise."

Alastair Lukies, chief executive officer of Monitise, commented, "First Eastern is a superb partner for us. The Joint Venture enables us to develop these new markets with real confidence, giviing us both fast entry and sustainability. At the same time First Eastern's experience will add enormously to Monitise as we seek to lead the world in mobile banking and payments capabilities."

In line with the conditional subscription approved by Monitise shareholders on
4 January 2010, First Eastern and UBS Asset Management (UK) Ltd. ("UBS") will respectively subscribe for £2.5 million and £0.3 million ordinary shares in Monitise at 13p per share.

First Eastern has also advised us that it wishes to exercise its warrant, granted following shareholder approval on 4 January 2010, and subscribe for a further £2.5 million of ordinary shares in Monitise at 15p per share. UBS will also subscribe for a further £0.3 million of Monitise ordinary shares at 15p per share, in line with the agreed conditional subscriptions.

The total cash inflow following all four transactions will be £5.6 million. Adding to this the cash balance at 31 March 2010, shows Monitise's total cash position at £18.3 million.

As a result of the subscriptions set out above, application for admission of 40,064,800 ordinary shares (representing 7.5% of the Company's enlarged issued share capital) has been made to the London Stock Exchange. It is expected that the conditional subscriptions will formally complete and trading of the new shares on AIM will commence on 9 April 2010. The number of ordinary shares in issue immediately following Admission will be 536,542,878.

On completion of the subscriptions, First Eastern companies will increase their holding of Monitise ordinary shares from 7.7% to 13.9%, and UBS, through various subsidiaries, will increase its share from 8.5% to 8.6%.