Source: Bank of America Merrill Lynch
Bank of America Merrill Lynch Global Transaction Services (GTS) and China UnionPay (CUP) have officially announced the launch of their exclusive cash management alliance in mainland China.
Bank of America Merrill Lynch is the first foreign bank to launch a dedicated cash management alliance with CUP, the only bankcard association established under the approval of the State Council of the People's Republic of China and the People's Bank of China (PBOC).
The alliance provides GTS cash management clients the benefit to pay into and debit out of individual, small business and corporate accounts across multiple banks in mainland China. Through the alliance, GTS leverages CUP's network to support payment services, as well as collections via merchant acquiring. The services provided within the alliance also include direct debit collection and direct disbursement. The launch of the alliance follows the memorandum of understanding (MOU) and master agreement signed by Bank of America Merrill Lynch and CUP to provide cash management services in China in 2012.
The announcement is complemented by Bank of America Merrill Lynch's selection by Outback Steakhouse, a subsidiary of Bloomin' Brands, Inc. (NASDAQ: BLMN), to provide a comprehensive suite of cash management solutions for its first company-owned location in Shanghai. Under the terms of the agreement, Bank of America Merrill Lynch will serve as one of the restaurant's cash management banks in China, utilizing its CUP alliance, to provide enhanced localized solutions, including daily collections, merchant services, account management and electronic payments.
"Progressive multinational clients like Outback Steakhouse increasingly demand localized and customized cash management solutions to help drive their China businesses. Bank of America Merrill Lynch's unique alliance with CUP provides our global client base with a competitive edge in China, a fact clearly recognized by Outback Steakhouse," said Ivo Distelbrink, head of Global Transaction Services, Asia Pacific.
"Outback Steakhouse requires a cash management solution that is designed to meet the needs of our dynamic business. Bank of America Meerrill Lynch tailored a solution, on time, and with a clear understanding of our treasury needs," said Dexter Newman, vice president, Finance and treasurer at Bloomin' Brands.