The third installment of the payment agency continued regulatory tightening
Following the August this year, the central bank issued on September before the two batch of non bank payment institution license renewal decision, in December 20th, the central bank issued the third batch payment license renewal results, of which 52 companies successful renewal, 1 companies not to renew the license, the 2 companies merged business. This continues after the central bank’s attitude, that is to tighten the payment license. The industry believes that, in this trend, the value of the existing license will be higher and higher.
Third enterprises in the 52 batch of continued licensing
According to the central bank in December 20th announcement shows, Tianyi Co. Ltd., Agel Ecommerce Ltd, China Unicom payment shift Agel Ecommerce Ltd, Mdt InfoTech Ltd and other 52 Shanghai 632 fun company successful renewal, renewal is valid for five years, the validity period of time for the December 22, 2016 -2021 year in December 21st.
However, due to the existence of “Shanghai card Cci Capital Ltd Chinese people’s Bank on the < > pay business license renewal work notice” provisions of article sixth of the non renewal of the situation, no renewal. According to the notice, the provisions of article sixth “through forged or altered, hidden data and other means to evade regulatory requirements, or malicious refuse or obstruct the inspection and supervision”.
In addition, there are two payment agencies business license is merged. One is Hainan Island card payment network limited payment business, will be merged to the country to pay treasure Mdt InfoTech Ltd; the other is the people of Wenzhou Information Services Limited payment services, will be combined to Shanghai Bai Qu Mdt InfoTech Ltd. The central bank requirements, the relevant payment business to undertake the work should be completed before June 21, 2017.
As of now, the central bank issued a total of 270 pay business license, the existing Guangdong Yimin, Zhejiang Shi, Shanghai Chang purchase and Beijing runjing 4 cancelled the payment license, 10 in the three batch of renewal was consolidated to pay business license, the market only 256 payment license.
Regulatory continuation of the cold face”
This year, the central bank for the third party payment institutions after heavy purge hit, intensive policies issued and continue to spread the rectification, punishment, standard voice in the highlight of the payment industry regulators regulate determination.
In addition to the cancellation, merger and part of the license does not renew the license plate, the central bank’s cold face is also reflected in the narrow part of the agency payment business. Get 52 license renewal in this time, two of the company’s business scope is reduced.
One is according to the people’s Bank of “China bulletin” on the bank card acquiring outsourcing business checks, to modern financial holding (Chengdu) Co. Ltd., Jilin two, Qingdao province stop (city) bank card acquiring business; the other is based on “the people’s Bank of Chinese bulletin” on the bank card acquiring outsourcing business checks the order of Shanghai De Yi network technology Co. Ltd. in Anhui, Qinghai Province, two stop bank card acquiring business.
In fact, before the two batch of the renewal decision, once part of the payment mechanism for serious violations, business stagnation atrophy was reduced, the scope of business. Huang Zhen, director of the Institute of financial law, Central University of Finance and Economics, said, you can see that the central bank is still in the tightening trend of supervision, regulatory agencies to pay the industry’s checks and remediation efforts are still increasing.
Industry pattern of survival of the fittest
In some of the third party payment agency business was off, there are a number of benign development of the organization, the type and scope of the license to maintain and expand. At this time the renewal decision, Shanghai Bai interest Mdt InfoTech Ltd and Mdt InfoTech Ltd have increased the country to pay treasure business in different provinces of the prepaid card issuance and acceptance. Previously, Alipay, Kara and other three party payment business type and scope has been extended. The pattern of survival of the fittest industry increasingly significant. Insiders also said that the third party payment market in fact was doomed from the start who first entered the market, who are greater.
Not only that, because the central bank made it clear that the next period of time should not set a new batch of institutions, which makes a lot of “layman” turn to the acquisition of other ways to enter the field of payment.
In August this year, Hengda Group to 570 million yuan to complete the acquisition of high priced acquisition of Guangxi, indirect access to the payment of the license of the third party. And this is just one example of M & a army. It is reported that the market is currently a business scope of the country’s full license quote, has been priced from 200 million -3 billion in 2015, rose to about $500 million, almost doubled the price within a year. Zero one finance research director Li Yaodong believes that the future payment license value may be more and more high, are people who want to come has not come in, can only rely on the acquisition of existing licence to enter the market.