Monitise Regulatory News (MONI)

29 November 2012

THE INFORMATION CONTAINED HEREIN IS RESTRICTED AND IS NOT FOR RELEASE, PUBLICATION OR DISTRIBUTION, DIRECTLY OR INDIRECTLY, IN WHOLE OR IN PART, IN, INTO OR FROM THE UNITED STATES, CANADA, AUSTRALIA, NEW ZEALAND, JAPAN, THE REPUBLIC OF IRELAND OR SOUTH AFRICA OR ANY JURISDICTION IN WHICH THE SAME WOULD BE UNLAWFUL

Monitise plc

Statement regarding press speculation

Trading Update

Monitise plc (LSE: MONI) ("Monitise" or the "Company" or the "Group") has noted the press speculation regarding a possible fundraising and confirms that the Company is in discussions with Canaccord Genuity and certain institutional and strategic investors with regard to a proposed partially underwritten fundraising of up to £100 million in order to take advantage of significant opportunities represented by mobile banking, payments and commerce.

Proceeds from the proposed placing would be used to fund new Mobile Money opportunities for financial institutions and payments companies looking to capitalise on accelerating global demand for mobile banking and payments services and in particular mobile commerce capabilities.

Mobile Commerce Strategy

Monitise is establishing an enhanced mobile commerce platform that provides an integrated hub for banks to connect into new payments and commerce gateways, reducing the complexity and cost of developing and delivering Mobile Money solutions to their customers while driving new revenue streams through enhanced mobile adoption. Leveraging its technology, partnerships and network, the Group's mobile commerce platform is evolving to further connect banks, payment processors, retailers, media partners, mobile networks, technology partners, loyalty providers, merchant acquirers, affiliate networks, ticketing aggregators and advertisers to create an unprecedented ecosystem for instant and secure purchases.

Current Trading Update

·; Group revenue on track to reach at least $110m in FY2013.

·; Payments and transfers processed by Monitise now over $25bn annually, versus $1bn a year ago.

·; More than 18m customers now registered to Monitise Mobile Money services, compared with 5.5m in December 2011.

·; The group has a pipeline of more than 100 financial institutions via its partners and direct sales teams looking to adopt mobile banking, payments and commerce applications developed by Monitise.

·; Further to the recently announced global alliance with information technology business Cognizant, Monitise is also in talks with a number of major technology businesses interested in partnering with Monitise, reselling the Group's banking, payments and commerce solutions and collaborating on mobile technology innovations.

·; An application to move from AIM to the London Stock Exchange's main market for listed securities is under consideration for calendar 2013.

Monitise plc Group Chief Executive Alastair Lukies said: "Our business is seeing enormous demand for Mobile Money services. The breadth of companies interested in working with us has never been greater and the level of consumer engagement with Mobile Money services we have developed is hitting new highs. The value of payments and transfers alone handled by our commercially established technology platform is now surpassing $25bn on an annualised basis, compared with around $1bn a year ago."

Lukies added: "The core foundations of our integrated mobile banking, payments and commerce capabilities are now aligning at a critical time as mobile transforms how we bank, pay and shop. The growth potential of Mobile Money, particularly via mobile commerce, is only just now starting to be realised. Proceeds from our proposed capital raising will be used to rapidly scale our business and enhance our Mobile commerce capabilities. With new partnerships and collaborations involving our technology platform, we intend to fully execute on the opportunity of creating value for our partners, customers and shareholders alike."

A further announcement regarding the proposed fundraising will be made in due course as appropriate.

For further information

Monitise plc Tel: +44(0)203 657 0900

Duncan McIntyre, Chairman

Alastair Lukies, Chief Executive Officer

Lee Cameron, Chief Commercial Officer

Mike Keyworth, Chief Operating Officer

Investor Relations

Haya Herbert-Burns Tel: +44(0)203 657 0366

Haya.herbert-burns@monitise.com

Media Relations

Gavin Haycock Tel: +44(0)203 657 0362

Gavin.haycock@monitise.com

Canaccord Genuity Limited Tel: +44(0)20 7523 8000

Giles Fitzpatrick

Simon Bridges

Cameron Duncan

FTI Consulting Tel: +44(0)20 7831 3113

Charles Palmer

Jon Snowball

IMPORTANT NOTICE

This announcement has been issued by, and is the sole responsibility of, Monitise. No person has been authorised to give any information or to make any representations other than those contained in this announcement and, if given or made, such information or representations must not be relied on as having been authorised by the Company or Canaccord Genuity Limited.

This announcement is for information purposes only and does not constitute or form part of any offer to issue or sell, or the solicitation of an offer to acquire, purchase or subscribe for, any securities of the Company in any jurisdiction and should not be relied upon in connection with any decision to subscribe for or acquire any such securities. In particular, this announcement does not constitute an offer to sell, or a solicitation of an offer to buy, securities in the United States. Members of the public will not be eligible to take part in any placement of the securities of Monitise described herein.

Any securities of Monitise described in this announcement have not been, and will not be, registered under the U.S. Securities Act of 1933, as amended (the "US Securities Act"), or under the securities laws of any state of the United States and may not be offered, sold, resold, transferred or delivered, directly or indirectly, within the United States except pursuant to an applicable exemption from, or in a transaction not subject to, the registration requirements of the US Securities Act. 

Furthermore, the securities of Monitise described in this announcement have not been and will not be registered under the applicable laws of any of Canada, Australia, New Zealand, Japan, the Republic of Ireland or the Republic of South Africa and, consequently, may not be offered or sold to any national, resident or citizen thereof.

The distribution of this document in or into jurisdictions other than the United Kingdom may be restricted by law and therefore any person who is subject to the laws of any jurisdiction other than the United Kingdom should inform themselves about, and observe such restrictions. Any failure to comply with the applicable restrictions may constitute a violation of the securities laws of any such jurisdiction. Subject to certain exceptions, this document is not for release publication or distribution, directly or indirectly, in or into the United States, Canada, Australia, New Zealand, Japan, the Republic of Ireland, the Republic of South Africa or any jurisdiction where to do so might constitute a violation of local securities laws or regulations.

Canaccord Genuity Limited, which is authorised and regulated in the United Kingdom by the Financial Services Authority, is acting as Nominated Adviser and broker to Monitise for the purposes of the AIM Rules for Companies and the AIM Rules for Nominated Advisers in connection with any placement of the securities of Monitise described herein and admission of such securities and is not acting for, and will not be responsible to, any person other than Monitise for providing the protections afforded to customers of Canaccord Genuity Limited or for advising any other person on any transaction or arrangement referred to in this announcement.