Platform technology developer 9Spokes (ASX: 9SP) has secured a five-year partnership with Visa, which will see Visa clients offered 9Spokes’ dashboard solution.
The company was reinstated to official quotation this morning after the news, which saw its share price rocket 117% to an intraday high of $0.063.
“This is a proud day for 9Spokes,” chief executive officer Adrian Grant said.
“We’re delighted to partner with Visa, the world’s leader in digital payments, with a global distribution network of 15,500 financial institutions.”
“This joint effort will help us to accelerate growth and bring 9Spokes to businesses through their financial institutions worldwide,” Mr Granted added.
Under the five-year agreement, Visa will offer its clients the 9Spokes digital solution. Visa will also facilitate the reselling of the 9Spokes platform.
This will include Visa promoting and reselling the 9Spokes gold edition, which is a white-label, highly integrated platform for banks.
Visa will also promote and resell 9Spokes’ Direction edition to its issuing bank clients and small business customers worldwide.
9Spokes’ Direct edition is a direct-to-business platform.
Visa and 9Spokes will also work together to develop new features and functionality to 9Spokes’ dashboard throughout the five-year partnership.
“There is a clear market need for better tools to help drive businesses forward and we have worked hard to create a robust product that can scale globally,” Mr Grant said.
“The relationship between financial institutions and small businesses is evolving rapidly and 9Spokes is looking to play a crucial role.”
Visa Business Solutions global head Kevin Phalen added that as businesses begin to recover from COVID-19, there was a “considerable need” for relevant solutions that help banks and their customers.
“We are excited to partner with 9Spokes and bring a data solution to small business and the banking sector – a critical need for both,” Mr Phalen said.
Expected revenue from deal
9Spokes noted it was “confident” the partnership would enable both itself and Visa to generate revenue from the sales of its dashboarding service to Visa’s clients and their small business customers.
The company added anticipated revenue under the deal would be “material”.
However, 9Spokes said the actual amount was dependent on several factors including customer adoption and implementation.