KUALA LUMPUR (July 28): ManagePay Systems Bhd is looking at capturing a bigger piece of the payment solutions market from next year onwards as the country moves to adopt the chip and personal identification number (PIN) cardholder verification method for purchase transactions by Jan 1, 2017 from the current chip and sign.
ManagePay (fundamental: 1.3; valuation: 0) managing director and chief executive officer Chew Chee Seng told reporters today that the group is well positioned to benefit from the payment card reform, as well as the changing trends in the industry.
“It all depends on how fast we go out to capture the market, [and] how fast we can get banks to use our host and terminal,” Chew said after the launch of the group’s MPay chip and PIN payment solution.
Chew added that in five years, players in the industry will be able to capitalise on the opportunity and maximise profits from the changes being pushed by the government via the central bank, in terms of payment cards.
“By taking away the printing of notes [money], the country’s gross domestic product will [improve], and the economy can move faster,” he said.
Chew further noted that it is looking to expand its footprint within ASEAN. It is currently present in Singapore and Myanmar.
“No other player in the ASEAN region is doing the chip and PIN business, except for Malaysia. We hope to capitalise by replicating our abilities and capabilities elsewhere,” he added.
ManagePay is working with Ebizu, a business-to-business technology solutions company targeted at helping small and medium businesses, for its MPay chip and PIN product.
Chip and PIN is a contact and contactless payment solution that uses an electronic chip embedded in payment cards to verify that it is issued by a valid bank, and require customers to supply a PIN when making transactions, as opposed to signatures on the chip and sign method.
Among others, the chip and PIN supports on-premise payments, on-the-go payments and integrated solutions.
It is the first of its type to be certified by MyClear, a wholly-owned subsidiary of Bank Negara Malaysia.
ManagePay closed unchanged today at 29 sen, for a market capitalisation of RM166.78 million.
(Note: The Edge Research's fundamental score reflects a company’s profitability and balance sheet strength, calculated based on historical numbers. The valuation score determines if a stock is attractively valued or not, also based on historical numbers. A score of 3 suggests strong fundamentals and attractive valuations.)