Morse to demerge Monitise

Corporate VAR looks to split off its banking and payments business and list it on AIM

Morse is demerging its Monitise business unit and will then list the business on the Alternative Investment Market (AIM)

The firm said it believes the opportunity around Monitise can be more effectively exploited outside the Morse Group.

Following completion of the demerger, Morse will still be listed on the London Stock Exchange and shareholders will also hold shares in the new company, Monitise plc, which will be listed on AIM.

The proposed demerger is still subject, inter alia, to tax clearances, certain third party consents and Morse shareholder approval.

Chairman of Morse, Richard Lapthorne, said: “Monitise has reached the point where its investment rationale is becoming clear and demerger will ensure that both Morse and Monitise can pursue their programmes for growth independently, whilst providing an investment choice for our shareholders."

Duncan McIntyre, chief executive of Morse plc, said: "Both of our operating businesses, Morse and Monitise have a compelling market proposition and a demerger will enable each business to pursue its own strategy and substantial growth opportunities, such that each can maximise its chance to fulfil its potential."