Phone payments firm Monitise rises after deal with Telefonica

INVESTORS put their cash behind Monitise yesterday after the world’s biggest mobile payments company announced that it had signed a deal with Telefonica.

Shares in the company rose almost five per cent after the announcement, which looks set to hasten the adoption of mobile commerce and add a new source of revenue for Monitise. Telefonica, the Spanish telecoms giant behind O2, is the first mobile operator Monitise has signed up to use its technology following a string of deals with the likes of Visa and RBS.

The five-year deal, worth a minimum of €45m (£38.5m) plus a fee per transaction processed, will see Monitise’s technology used in all of Telefonica’s future mobile commerce systems.