Standard Chartered and Australia-based payments fintech Assembly Payments are setting up a next generation payment solutions joint venture.
Specifically, Standard Chartered and Assembly Payments will form a new company to be headquartered in Singapore.
Subsequently, the aim is to grow the business globally. The company will offer a sophisticated digital payment platform to manage transactions across multiple payment types and countries. This will include online, mobile and point-of-sale, digital wallets, debit and credit cards and real-time payments.
In particular, the new venture will roll out its payment services to global merchants. Moreover, it will support their ambitions to scale and solve key challenges in managing risk, fraud, integration, reporting and reconciliation.
Core area of StanChart investment
Michael Gorriz, Group CIO Standard Chartered, says: “Payments is a critical pillar of banking services. Enabling Real-time Faster Payments and high volume transactions has been a core area of investment for Standard Chartered. This is in line with the evolving needs of clients, particularly with the growth of e-commerce platforms and wallet apps.
Our venture with Assembly Payments complements these capabilities. It gives our corporate clients a complete offering for high throughput inward and outward payments.”
Alex Manson, head of SC Ventures, the innovation, fintech investment and ventures arm of Standard Chartered, adds: “As the world moves towards platform-based e-commerce, the need for the next generation of tools to empower merchants and enable financial inclusion continues to grow. We identified payments as an area where we wanted to make a strategic investment. Assembly Payments shares our vision. We are pleased to partner them based on the strength of their core technology and talented team.”
Standard Chartered, Assembly Payments: once in a lifetime opportunity
Simon Lee, Co-CEO Assembly Payments says: “This deal creates a once in a lifetime opportunity for Assembly. We have created a significant business in Australia. Now, together with Standard Chartered, we are well placed to crack the international payments market and exponentially grow the business.”
Furthermore, this is one of the first major global fintech deals between a global bank and a major Australian fintech.
Assembly Payments is one of Australia’s fastest-growing fintech businesses. Formed in 2013, it now employs over 130 staff.
Assembly has been working to capitalise on the demand for new payment solutions. This is brought on by the introduction of the country’s fast payment network, the New Payments Platform in Australia and abroad.
Standard Chartered has actively been experimenting with new business models to meet the evolving needs of banking clients. For example, in Hong Kong, it has established a strategic joint venture with PCCW, HKT and Ctrip Finance. This is delivering a new standalone digital retail bank in Hong Kong. In addition, it has set up virtual banking partnerships in Taiwan and Korea. And it has also set up a digital open platform, Solv. This helps SMEs in India and other markets grow by providing a range of financial and business services.