Visa To Undertake Assessment Of Stake In Monitise - Quick Facts

(RTTNews) - Visa Inc. (V) and Monitise plc (MONI.L) have reached an alliance agreement in 2009. At the same time, Visa started investing in Monitise. Given the maturation of Monitise as a company, Visa is mulling its options relating to the investment and has engaged J.P. Morgan Securities Plc to assist. Also, Visa would lessen its dependence on external mobile development resources.

In 2009, Visa invested in Monitise as a 14.4% owner of the company to provide capital support to a leader in the evolution of the mobile payments sector. Visa's holdings have been reduced to its current 5.5% stake in the company over a period of time. This reduction in ownership and associated influence is consistent with Visa's investment practice to seed emerging players and, over time, taper that influence as the partner company grows.

As part of their agreement, Monitise would provide Visa with mobile platform development services through 2016. Visa plans to continue increasing its investment in its own in-house capabilities and, thus, reducing its use of external resources.