In August 2016, West International signed an agreement with Stargroup Ltd (ASX:STL) relating to card terminal deliveries. During autumn 2017 reports emerged, revealing problems relating to Star’s financial capability. For some time now, Star has been under the process of recapitalisation of its business.
Going forward, West has decided to collaborate with several different distribution partners in Australia. This decision was made partly in response to the situation that has arisen with Star. Thus, West has reached an agreement with Star whereby they are no longer exclusive distribution partner. The agreement is valid until further notice, with no volume commitments for Star.
As previously noted, West has signed a Letter of Intent with Cirralto Limited (ASX:CRO), the aim of which is for Cirralto to distribute the West payment solution in Australia, and contract negotiations are underway.
These measures do not change our previous intent of completing the West payment solution for the Australian market. The project of connecting and certifying the West Payment Gateway against the local banking network is progressing and is estimated to be completed during 2018.
The West card payment solution has already been certified according to the security standards of the trade association PCI, as well as by leading credit card brands such as e.g. MasterCard, Visa, American Express and Union Pay.