Mobile payments firm Monitise to raise £24m in AIM placing

BRITISH mobile payments firm Monitise yesterday announced plans to raise £24m from a share issue aimed at existing investors.

The company also said it is on track to become profitable by September 2013, three months earlier than expected.

“We are in a unique position in this exciting industry and ensuring that we have a suitable capital base is vital if we are to deliver on the substantial potential of the business. We are delighted that our major partners are fully supportive of our strategy,” said chairman Duncan McIntyre.

Canaccord Genuity will act as nominated adviser and sole broker on the placing.

Monitise provides mobile banking software to leading UK banks including RBS, Lloyds and HSBC and has a long-standing relationship with global card firm Visa.

The AIM-listed company has benefited from the boom in smartphone ownership and has helped banks to develop a range of applications for mobile devices and last month announced year-end revenue growth of 140 per cent to £36m.

At the end of June the firm had more than £110m of committed orders and said it hoped to snare £160m of additional revenue from existing customers over the next five years.