UK based mobile payment firm Monitise has raised £100m by placing 333,333,333 ordinary shares at a price of 30 pence with institutional investors which the company will use for strengthening its mobile commerce arm.
The firm is also planning to take over operations of Mobile Money Network, the mobile ecommerce service in which it owns 50% shares, in a deal worth £15m.
The move is in-line with its plans to raise cash to gain from significant opportunities as the global banking industry embraces mobile technology including contactless wave and pay option through mobile phones.
The Mobile Money Network’s Simply Tap technology allows customers drop products directly into the mobile checkout followed by an instant purchase.
Monitise Group Chairman Duncan McIntyre said: "The proceeds from our placing will be used to rapidly scale our business as we enhance our Mobile Commerce capabilities.
"Taking control of our UK mobile commerce joint venture Mobile Money Network gives us full ownership of a rapidly-growing flagship UK mobile commerce business and exceptional technology," McIntyre said.
"This is expected to yield significant operational and strategic benefits both in and beyond the UK.
"Our focus is firmly set on widening the leadership gap we have established via our unique network and partnership approach to Mobile Money, one of the fastest-growing sectors globally."
The proceeds will be used to scale up its business, while enhancing MEP’s capabilities including faster roll-out of services, including MEP Commerce into the MEP platform, establish country-specific functionality and language variants of its platform and expand its data and analytics capabilities among many others.