UK’s VocaLink Courting Investor

UK’s VocaLink Courting Investor

UK transaction processor VocaLink has been in discussions with potential investors to sell a minority stake to raise funds for international expansion. The company says it will announce its final decision in June 2008. Owned by UK banks, VocaLink was formed in July 2007 from the merger of bank payment services provider Voca and the LINK Interchange Network. LINK operates the switch which connects 60,000 British ATMs.

VocaLink behaves like an automated clearing house, operating the UK’s three-day and same-day bank-to-bank electronic fund transfer systems. Existing bank shareholders are to retain a controlling interest in VocaLink and the funds raised from the new investor will be used to “progress a number of opportunities around the world”, according to the company. Reports claim that VocaLink is set to launch the UK’s Faster Payments system on 27th May, 2008. Faster Payments will offer consumers near-real-time transfers between accounts held at different UK financial institutions.