Having flagged the new year as one they will drive international expansion, digital payments and fintech company Novatti Group (ASX: NOV) has hit 2021 running, having secured an extension to their Visa Principal Issuer license that will allow them to issue Visa cards in New Zealand.
The entry into New Zealand for their card issuing division is an extension of the licence granted to Novatti by VISA Inc (NYSE: V) in September 2019 which has enabled Novatti to issue VISA cards in Australia and emerge as a partner of choice for payments and compliance.
“Novatti’s approach is to develop platforms that enable us to scale quickly and our Visa issuing business is a great example of this,” said Novatti Managing Director, Peter Cook.
“Having established a strong partnership with Visa in Australia, we are very excited to now extend this partnership into New Zealand at a time when digital payments are rapidly rising while cash declines.”
Amid the various partnerships Novatti secured through 2020, which they described as a year of consolidation, the Company was selected by global payments company Marqeta as their domestic partner in Australia. Since then, Marqeta has eyed their own IPO which would value the American-based company around $10 billion, highlighting the breadth of Novatti’s payments infrastructure in Australia.
While this license extension into New Zealand is one market being targeted by Novatti for expansion of their digital payments and fintech services, the United States is also firmly in their sights through billing automation software division Emersion.
“As a first step, expanding Novatti’s Visa issuing business into New Zealand enables us to provide complementary services to our existing global customers with a presence in New Zealand, while also capitalising on the deep relationships that already exist there through Novatti’s subsidiary company, Emersion,” added Cook.
With the United States being a developed nation where a bulk of their subscription and monthly billing is still posted by mail, Emersion assists businesses to automate and digitise their billing while securing payment digitally.
For the quarter ending 30 September 2020, Novatti reported new record revenue of $3.56 million, an increase of 46% on the previous corresponding quarter.
NOV was recently featured by Emerald Financial as an ASX small cap tech stock to watch in 2021.
*Owners of this website are NOV shareholders.