FLEXIROAM Signs MPOS Connectivity Agreement with GHL
FOR IMMEDIATE RELEASE
9 June 2021
9 June 2021
FLEXIROAM SIGNS MPOS CONNECTIVITY AGREEMENT WITH GHL
- Flexiroam will exclusively supply GHL with secured connectivity for its payment terminal devices in Malaysia, Philippines and Thailand for a two-year term
- GHL’s payment terminals will have the ability to stay connected utilising multiple networks, with global coverage. This enhances the high availability and security for payment transactions
- The contract provides monthly recurring revenue, which will grow over time as new machines are deployed, with a low expected churn rate
- Follows an initial commercial agreement to supply connectivity to GHL devices in October 2020, covering areas in Malaysia
Flexiroam Limited (ASX: FRX) is pleased to announce that it has signed a commercial agreement with leading Malaysian payment service provider GHL Systems Bhd (GHL), a leading ASEAN payment service payment provider. Under the agreement Flexiroam will be providing cellular connectivity to GHL’s payment terminals deployed by GHL in Malaysia, the Philippines and Thailand. The contract has an initial term of two years, with no option for termination within the first 12 months. GHL will pay Flexiroam a monthly fee at commercial rates for each terminal deployed by GHL. The Agreement contains terms and conditions which are customary for an agreement of this nature.
Commenting on the agreement, GHL’s Chief Executive Officer Sean Hesh said: “Flexiroam’s SIMs provide the specific connectivity solution we need to rapidly scale and we are pleased to be deploying them into our terminals. The solution provides us with the guarantee of reliable connectivity anywhere our machines are deployed, which we require as a rapidly growing regional payment service provider. It is a convenient solution for us, as all our connectivity will be provided by Flexiroam’s global network. Being able to stay connected by utilising multiple telecommunications networks is critical to ensure we have high availability and security for payment transactions.”
Flexiroam Chief Executive Officer Marc Barnett said: “We are delighted to be extending our agreement with GHL, following a smaller initial rollout in Malaysia earlier this year. The contract is a significant milestone, as GHL is a regional market leader that is leading the cashless revolution in the ASEAN region, with electronic payment methods spanning from cards to e-Wallets. GHL has around 387,000 payment touchpoints and we are excited to be providing connectivity as they rapidly grow their footprint further.
“Our Flexiroam Solutions Internet of Things (IoT) platform leverages our cellular network switching technology and will provide GHL with enhanced coverage with the guarantee of secured and reliable transactions. Our solution will be integrated with GHL’s back-end system, allowing GHL to consolidate and manage connectivity of all terminals with different networks, over a single API. This provides GHL with better control over the management of their merchant subscriptions, making it easier to deploy across the region. The monthly recurring revenue generated will provide us with a long term, sustainable and growing revenue base.
“There are strong long-term opportunities for us to grow our recurring revenue from deploying our Flexiroam Solutions platform into the Southeast Asia region, where the POS terminal market is forecast to grow at a CAGR of 32.4% over 2021-2026, underpinned by increasing middle-class income and growing investments and digitalisation in the payment industry. I look forward to providing further updates over time as we continue to execute on our Flexiroam Solutions growth strategy.”