Circle International Holdings, the Australian payments company, announced news on Monday (April 30) of a new strategic partnership with payment gateway company Lakala.
In a press release, Circle International said the partnership will enable it to facilitate cross-border payments between Malaysia and China. The company noted that cross-border transactions involving China within the eCommerce market were valued at $1 trillion. Lakala is China’s only non-bank institution, which Circle International said offers online, offline, personal and corporate services and had a trading volume of 1 trillion renminbi. Additionally, Circle International said Lakala is one of China’s top three companies in the offline settlement market.
“This will contribute positively to our Group revenue in 2019, and the tie-up will allow for increased monetization opportunities from China and the creation of a complete marketplace within its proprietary Business Circle mobile application,” said CEO Dato’ Brian Tan in the press release. “Circle International’s self-developed Business Circle mobile application has a tremendous following in China and other Chinese-speaking markets. The English version of Business Circle was launched recently as part of its regional plans to penetrate into new markets, including Australia.”
The executive said that through the partnership, Circle International can leverage Lakala’s strength in eCommerce and integrated payment solutions to enable eCommerce services for its Business Circle users, particularly those from China.
“Via Lakala, both consumers and merchants can buy and sell products and services through Business Circle,” the executive noted.
The company said the partnership is part of several strategic initiatives it has been undergoing to power its penetration into the mobile wallet and payment gateway industry. Most recently, it launched its Circle VISA Premium Card, which is exclusive for Business Circle users — rewarding them with incentives, discounts and promotions.
“It’s about creating a complete payment ecosystem for consumers and merchants to leverage on. While the Circle VISA Premium Card was our first step into FinTech, we continue to expand our product lines for our members. E-commerce complements our existing revenue streams as a regional content owner and digital advertising player,” the CEO said in the press release.