Kvanto to Acquire 51% of Mobileware Technology to Combine and Expand Their Digital Payment Business in India
COPENHAGEN, Denmark, Dec. 22, 2020 (GLOBE NEWSWIRE) — Kvanto Payment Services A/S (“Kvanto”) is pleased to announce the signing of an Agreement (“The Agreement”) with Mobileware Technology Pvt. Ltd. (“MWT”). Under the terms of the agreement, Kvanto will own 51% of MWT in India to pursue the implementation of Kvanto’s payment platform combined with MWT’s existing payment processing technology and customer base. MWT will represent and move Kvanto forward through the exponentially growing digital payment processing market in India.
Mobileware has implemented digital banking products in leading banks in India, including Yes Bank and Kotak Mahindra Bank. Building on Kvanto’s success with its proven state-of-the-art platform and coverage that reaches over 400 banks worldwide, and Mobileware’s long-standing business relationships in India, this venture’s combined technology is expected to become operational throughout multiple banks in India.The operational side of the business relationship has been in active development for over 2 years and is currently focused on an extensive ongoing testing plan where the platform has been successfully demonstrated and is preparing to go live.Revenue from these initial contracts should commence in the 2nd quarter of 2021. By 2022, the total amount of annual transactions in this cooperation is expected to yield approximately USD $14 million directly to Kvanto, as their share of the annual transaction fees attributed to the Kvanto gateway. In addition, Kvanto will benefit from the 51% consolidation of MWT, which are expected to add a further $36 million to the consolidated revenue line in 2023.“In order to support the requirements of doing this business, as well as providing the Kvanto payment platform for other banks in India, we selected MWT as the right partner to work with,” said Jesper Skorstengaard, CEO of Kvanto. “MWT brings extensive experience and credibility to this marketplace which should accelerate our market access,” he added.“We look forward to representing Kvanto,” said CEO of Mobileware Technologies, Satyajit Kanekar. “We have great trust in the ability of the Kvanto platform and the deep knowledge into payments that the Kvanto team and relationship brings. We’re very excited and convinced that we have found the right partnership for fast, escalating businesses here in India.” Kvanto and Mobileware Techhnologies’ synergy presents the potential to become a major player in the digital payment space, he added.The acquisition and valuation of MWT is subject to further due diligence and is expected to become effective no later than the listing date of Kvanto’s parent company, Kvanto Payment Services Ltd, on a recognized stock exchange in Canada, details which will be disclosed when finalized at a later date.About Kvanto Payment Services:Kvanto commenced operations in 2012 to compete in the rapidly changing digital payment solutions market. Client adoption proves Kvanto has the solutions to compete.Kvanto has positioned itself as a premium European multi-connectivity payment service provider (holding a PSP-ISO), with a world-recognized payment gateway which integrates leading acquirers who handle different payment methods and payment cards linking to online and offline business efficiently, affordably and reliably.The Kvanto organization boasts several decades of experience within the payment and financial industries. It’s extensive network of partners and collaborators across the world is one of the key reasons why Kvanto is able to provide customers with a payment solution no matter where they operate from.Kvanto Payment Services AS based in Denmark, is a 100% operating subsidiary owned by Kvanto Payments Services Ltd in Canada.About Mobileware Technology:Mobileware Technologies established in 2010, is known for its cost-effective stable technology platform and providing globally talented back-end operations. The Company has been successfully operating in the ‘Mobile Banking’ domain since 2013. Mobileware is fully compliant and each product is secure in every new digital channel introduced by National Payment Corporation of India.In 2018, Mobileware introduced TransXT – a open Banking API platform to take banking to the next billion users with the aim to enable banks to avoid the costs, delays and frustration of recurrent integrations of their systems with those of new digital businesses.For Further Information Contact: Kvanto Payment Services A/SCEO, Jesper V. Skorstengaard
Phone: +45 4033 3396
Mail: jvs@kvanto.com
www.kvanto.comDisclaimerAll statements regarding our expected future financial position, results of operations, cash flows, financing plans, business strategy, products and services, competitive positions, growth opportunities, plans and objectives of management for future operations, including words such as “anticipate,” “if,” “believe,” “plan,” “estimate,” “expect,” “intend,” “may,” “could,” “should,” “will,” and other similar expressions are forward-looking statements and involve risks, uncertainties and contingencies, many of which are beyond our control, which may cause actual results, performance, or achievements to differ materially from anticipated results, performance, or achievements. Kvanto Payment Services A/S is under no obligation to (and expressly disclaim any such obligation to) update or alter our forward-looking statements, whether as a result of new information, future events or otherwise.
