Mastercard Inc. MA made an undisclosed investment in the fintech company named Marqeta, which instantly issues cards and processes card payments with its open Application Programming Interface (API) platform.
The financial technology startup helps young companies including digital-only issue payment cards. These cards can be both virtual and physical debit or credit cards. Apart from issuing its own cards, the company enables businesses to process credit and debit card payments.
Since 2010, Marqeta quietly established itself as the underlying tech provider for businesses and digital-only banks in issuing them payment cards. As the entity looks to expand internationally and sign up customers around the globe, it received a strategic investment from Mastercard. The infusion of cash will streamline the company’s global network certification process, which is crucial since it determines the providers who can process payments through Mastercard’s network. The two companies have been working together since 2014 in Europe
The California-based FinTech, whose open API platform enables companies like Square, DoorDash and Instacart to issue credit and debit cards and process payments, announced Thursday (Oct. 8) that Mastercard will “make a financial investment” as the two companies look “deepen their global partnership.”
The amount of the investment was not disclosed.
However, the card issuing platform said the infusion of cash will help it speed up its international expansion, in particular by “streamlining its global network certification process.”
That certification, in turn, is crucial since it determines which providers can process payments through Mastercard’s network, the two companies noted in a press release on their expanded partnership.
“With a shared vision to provide innovative and flexible financial products and solutions to our customers, we’re thrilled to
has invested in Marqeta, a card-issuing platform, as it extends its partnership with the fintech.
Financial terms weren’t disclosed. Marqeta provides API technology that helps companies like Square (ticker: SQ), Instacart, and DoorDash issue cards, including debit or credit, and process payments for their customers.
Since 2014, Marqueta and Mastercard (ticker: MA) have worked together helping fintechs and digital banks across North America and Europe bring card products and programs to market, the statement said. With Mastercard’s help, Marqeta will expand into new geographies, beginning with the Asia Pacific. The two companies also will collaborate to provide open access to Mastercard products for Marqeta customers, a statement said.
“Mastercard’s investment in Marqeta is a significant validation of the power of modern card issuing and the strength of our technology,” said Jason Gardner, founder and CEO at Marqeta, in the
OAKLAND, Calif. & PURCHASE, N.Y.–(Business Wire)–Marqeta, the global modern card issuing platform, and Mastercard today announced an extended global partnership to expand into new geographies, open access to new products, and launch additional card programs together. As part of this partnership, Mastercard has also made a financial investment in Marqeta.
This new agreement represents a deeper global collaboration between Marqeta and Mastercard. Since 2014, Marqeta and Mastercard have been working together to help fintechs, digital banks and commerce disruptors across North America and Europe bring innovative card products and programs to market. Beginning in Asia Pacific, the two companies will expand their collaboration into multiple new geographies, optimizing for global scale and driving efficiencies across their businesses to better serve the market. Mastercard will help expedite Marqeta’s international expansion by streamlining its global network certification process, which governs which providers are allowed to process payments internationally through the Mastercard network.
LONDON (Reuters) – Mastercard Inc has made a strategic investment in fintech firm Marqeta Inc and extended an existing partnership with the card issuing start-up, the companies said on Thursday.
Mastercard and Marqeta will work together to expand into new markets, build new products and launch new card programs, they said.
The size of the investment was not disclosed.
“As Marqeta’s global ambitions continue to grow we saw an opportunity to strengthen the partnership,” Omri Dahan, Marqeta’s chief revenue officer, said in an interview. He added that Marqeta had not been in need of a cash injection.
The Oakland, California-based company has developed a platform that it says makes payment card issuing and processing simpler and more efficient for businesses. Its backers include Goldman Sachs Group Inc and Visa Inc.