Paypal Holdings Inc (NASDAQ:PYPL) and Visa Inc (NYSE:V) announced an extension of their U.S. partnership in Asia Pacific to offer digital and mobile payments solutions to consumers and merchants.
The partnership will allow Visa-issuing banks in the region to offer their cardholders the ability to check out anywhere PayPal is accepted online. It also expands the use of PayPal to retailers that accept Visa in physical locations.
Through collaboration with Visa bank partners, consumers will be able to easily add Visa cards into PayPal from other banking apps.
In addition, Visa and PayPal agree to extend participation in the Visa Digital Enablement Program. It provides Visa’s partners with access to tokenization technology, which enables payment on mobile phones or any connected device. This will expand the use of PayPal to retailers that accept Visa in physical locations.
The companies plan to work together to expand access to enable the use of electronic payments in emerging markets in the Asia-Pacific region.
Visa will provide the option for PayPal to leverage Visa Direct, allowing PayPal customers to move funds to their Visa accounts across multiple markets.
“We could not be more proud of our extended partnership agreement with Visa in the Asia Pacific markets,” stated Rohan Mahadevan, senior vice president for PayPal Asia Pacific.
“This is a strong signal that our decision to partner in 2016 was the right thing to do for PayPal, Visa and our millions of merchants and consumers in this region. We look forward to partnering with Visa to offer more choice and better experiences together online, in app and in-store within Asia Pacific,” Mahadevan added.
Shares of Paypal Holdings Inc (NASDAQ:PYPL) closed up 0.40% on Wednesday. The stock is up 8.66% for the year. During the last 12 months, PYPL has surged nearly 9%. Shares of Visa Inc (NYSE:V) closed up 0.25% on Wednesday. The stock is up 14.11% year-to-date.
