Following a strategic review in January, UK mobile money firm Monitise has had “many constructive discussions with market-leading players” about taking over the business.
Credit card firms, software vendors and system integrators are all possible candidates, Reuters has quoted Jefferies analyst Milan Radia as saying.
The company said the strategic review was taking place “in light of recent share-price weakness, shareholder feedback and industry developments” when it expected FY2015 EBITDA losses of around £40-50 million.
In its interim results for the six months to 31, December 2014, revenue fell 8.8 percent to £42.4 million while its loss stood at £30.8 million. The H1 FY 2014 loss was £10.2 million.
Chairman Peter Ayliffe maintains that “the momentum we are seeing in transforming our business also reinforces our confidence in becoming EBITDA profitable in FY16.”
The company, which claims to have a total user base of 82 million, also said it will launch its first mobile money services on the new cloud-based Monitise Central Platform in April this year and has signed a letter of intent with an unnamed European financial institution to deploy Monitise digital banking capabilities in several countries.
Monitise also said it recently launched SmartBank, Santander UK’s mobile banking app for students and entered into a seven-year digital banking strategic partnership with Virgin Money in December.
Included in its ‘post year-end highlights’ is a partnership with the MoneyPass Network to offer services and card control capabilities to card issuers in the US and, following an enhancement of the Vantage platform to make Apple’s TouchID authentication available, Webster Bank became the first bank to deploy this feature into its mobile banking app.
It also said it hired Rene Ho, previously of Visa, as Chief Marketing Officer.