Israel Credit Cards-Cal Ltd. (ICC-Cal) (Visa) is entering the international e-commerce market. The company is launching a virtual prepaid World Wide Wallet card in the UK as the exclusive issuer for Visa International Inc. ICC-Cal will reportedly be paid $2.75 for each World Wide Wallet card issued, and the company plans to issue one million cards in the UK during the first year.
Visa International and ICC-Cal jointly developed the World Wide Wallet card in Israel with the goal of it becoming the standard means of payment for Visa users online. ICC-Cal CEO Boaz Chechik told “Globes”, “Becoming a global issuer is a breakthrough for ICC-Cal.”
Chechik believes that if the new card is as successful as anticipated, the long-term effect on ICC-Cal’s profits will be dramatic. The company plans to hold an IPO in 2007 at a company value of NIS 2 billion. “The new card involves no payment risk for ICC-Cal, because it’s a prepaid debit card. In addition, ICC-Cal will be paid a commission on every card issued, as well as a cross commission and a proportion of each card’s profit,” he said.
Virtual Visa SVP Sandra Alzetta told “Globes” that Visa International viewed the card as a new and very important product that gives the company an edge on existing online payment solutions because the card is wholly virtual. She added that, following the World Wide Wallet card’s launch in the UK, Visa planned to launch it other countries, including Germany, Spain and France.
Published by Globes [online], Israel business news - www.globes.co.il - on October 9, 2006
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