Monitise Asia Pacific Forges Deals With Chinese Mobile Commerce Cos

Monitise plc, a global mobile commerce provider, said Tuesday that its Asia Pacific joint venture had signed a Memorandum of Understanding with Handpay and China Rewards in a move that further broadens its mobile commerce operations. 

Monitise said the agreements with the two Chinese mobile commerce groups would create a range of compelling mobile commerce propositions and new joint business opportunities in a growing market.

"These agreements represent compelling validation of our experience in running secure mass market, bank grade mobile commerce systems as we focus on developing strategic partnerships in key territories as part of our global growth strategy," Monitise chief executive Alastair Lukies said in a statement.

Under the terms of the MoUs, Handpay, a mobile payments firm, China Rewards, a leading loyalty program provider, and Monitise will cooperate to deliver new mobile opportunities to their respective customers both inside and outside the Chinese market.

Monitise said its MoU with Handpay will combine the strengths of Handpay's links to local payments networks, banks and service providers in China with  Monitise's international connectivity and global relationships.

The mobile commerce firm added that the partnership will make it easier for customers to manage their money using a mobile phone as a convenient and secure channel.

It will also provide a simple and fast to implement mobile banking and payments solution to partner financial institutions, which Monitise said it expects to appeal in particular to small- and medium-sized local banks as well as international banks operating in China.

The MoUs have been entered into by Monitise Asia Pacific, the joint venture formed in April 2010 with First Eastern, a Hong Kong-based investment group which manages direct investments in China.

Author: Justin Cole, analyst.