Q: Could you please discuss the significance of the following:
American Express announces it has selected Nuvei Corporation as its first acquirer authorised to promote and sell PwBt's Open Banking-enabled payment method.
I realize this is only for the UK but could you please explain what this might mean going forward for other geographic areas the 2 companies operate in. In other words, is this the start of a partnership that might provide strong tailwinds for Nuvei.
American Express announces it has selected Nuvei Corporation as its first acquirer authorised to promote and sell PwBt's Open Banking-enabled payment method.
I realize this is only for the UK but could you please explain what this might mean going forward for other geographic areas the 2 companies operate in. In other words, is this the start of a partnership that might provide strong tailwinds for Nuvei.
5i Research Answer:
It is fairly significant, but moreso from a customer referenc point of view than actual revenue. Pay with bank transfer is a way card companies are competing in the fintech space. Customers can complete transactions seamlessly and directly from their bank accounts, without additional authentication or more details, and NVEI credits merchants instantly, and with low fees. This partnership could provide more tailwinds as it expands geographically, and other finance providers will see this as a solid reference account for further discussions on their own options with Nuvei. The stock has had a decent run over the past week, but we think this is more market-related than due to this specific news.