Fintech Novatti launches Chinese payment platform; shares jump 60pc
Link copied to
Novatti shares soared today after the junior fintech launched a platform that allows the payment of Australian bills with China-based e-wallets.
Novatti’s new chinapayments.com service allows the payment of Australian gas or electricity bills via China’s popular third-party online payment service Alipay.
The service is designed to allow Chinese residents, migrants, students and tourists to pay local bills.
The stock soared 59 per cent to 32.5c, before cooling to 29c by 11.30am AEST.
It’s the first of several measures Novatti is undertaking to extend its range of China payment services. WeChat Pay and China UnionPay are next in line to join the platform.
“We are delighted to announce the launch of the platform, another plank in our strategy to support the booming China Australia market,” chief Peter Cook said.
“We believe this new platform will better benefit Chinese residents in Australia, which is a unique market full of opportunity.”
Under the agreement, Novatti will receive fees on a per-transaction basis for each bill processed via the platform, with overall return dependent on the take up of the service.
The AliPay service – a spin-off from retail behemoth Alibaba – is popular among Chinese who do not have access to a Visa or MasterCard.
The app links directly to a bank account and facilitates payment through the scanning of a QR code.
The service had some 520 million users.