The identitii Limited (ASX: ID8) share price surged 77% higher in morning trade, after the company signed an agreement with Mastercard.
What does Identitii do?
Identitii is an Australian financial technology (FinTech) company. It is based in Sydney and was founded in 2014. Identitii uses blockchain and tokenisation technologies to connect banks and businesses with data to process, reconcile and report on payments. Its core Overlay+ platform collects and shares information on financial transactions.
It creates an ecosystem in which suppliers, buyers, banks and regulators can access their required data. Identitii reduces the exposure to regulatory risk for these companies, without replacing existing technology systems.
The Mastercard agreement
Identitii has signed a five-year master services agreement (MSA) with Mastercard International Incorporated (Mastercard). Under the agreement, Identitii will license its Overlay+ platform to Mastercard. This will enable Identitii to sell to and work with any Mastercard-linked business in the world.
Identitii CEO John Rayment said:
We are thrilled to announce that we have signed an agreement with Mastercard, who we have had a relationship with since participating in their Start Path program in 2018. What the MSA does is give us the opportunity to license our Overlay+ platform to any Mastercard business globally.
It is the first step in a process, following which we agree specific statements of work which outline how Overlay+ will be used to address particular needs in their business. We look forward to providing an update on specific projects in due course.
How has the Identitii share price performed lately?
Back in late July, Identitii announced that an entitlement issue had raised $1.908 million in Q4. The company will raise an additional $1.908 million in Q1 FY 2021.
Cash receipts from customers during Q4 amounted to $0.183 million. This was down 62% from Q3, mainly due to short term delays in professional services contracts as a result of the coronavirus pandemic.
The Identitii share price has trended downward since it launched October 2019 at $0.34, falling to below $0.09 in July. Today it rose 72% to 0.49 in early morning trade, and is currently trading at $0.31.
