JCB, ORIX and Majid Al Futtaim Group Establish Joint Venture for Credit Card Business in the UAE.
Tokyo, Japan, Jan 26, 2007 - (JCN Newswire) - JCB, ORIX Corporation (ORIX), and Majid Al Futtaim Group announced today an agreement on a joint venture for a credit card business in the Middle East and North Africa (MENA). Headquartered in Dubai, the United Arab Emirates (UAE), the venture MAF JCB Card PJSC is planning to start issuing JCB cards this July and also developing JCB license partners for JCB card issuing and merchant acquiring businesses.Hiroya Nobuhara, President and CEO of JCB said, "This is a big step for JCB in expanding its operations in the MENA region. For the first time since JCB launched its international operations in 1981, it is taking this step by establishing a joint venture with the most prominent partners. I am thrilled that the number of JCB license partners and cardmembers will be soon significantly increasing in the market where JCB has been paying a particular attention."
JCB, as a global payment brand and the leading credit card issuer and acquirer in Japan, has been actively building its presence in the Middle East since 1987. In 2005, the first JCB card in the Middle East was issued in Bahrain. To enhance its acceptance network especially in the UAE, JCB had signed acquiring agreements with major partners such as Mashreq Bank in 1996, National Bank of Dubai in 1997, and Network International in December 2006.
Representing ORIX, an integrated financial service provider, Yasuhiko Fujiki, President and COO added, "ORIX and JCB have had a comprehensive business tie-up since 2005. This is a significant milestone for us as the new company in the UAE is going to be our first joint venture outside Japan under this partnership."
Fujiki emphasized that the MENA has been a target market for ORIX as well as for JCB. Since the establishment of its leasing business in Pakistan in 1986, ORIX already has six offices including joint ventures in five countries in the MENA region. Fujiki also commented that he anticipates the joint business with JCB in the UAE will generate good synergies for both of their business in the MENA region.
As part of ORIX's strategy in the MENA, ORIX joined Majid Al Futtaim Group, the region's most prominent developer of shopping malls and hypermarkets, to create MAF ORIX Financial PJSC in the UAE in 2002. ORIX and the Group currently operate joint ventures in four countries.
Ahmed Bin Brek, CEO of MAF Ventures LLC said, "This initiative marks a new direction for Majid Al Futtaim Group and extends its customer offering. We are proud to have as our partners two of Japan's finest financial institutions and their involvement signals our determination to offer a premium service to users of the Group's malls and other customers throughout the MENA region. In terms of our strategy this joint venture is a stand-alone project with obvious synergies with the Group's core activities. It will drive revenue for the company while increasing our customers' buying power."
Majid Al Futtaim Group owns the franchise license for the French hypermarket chain Carrefour in the MENA region, along with a variety of shopping, entertainment and leisure facilities. Also, the Group opened Ski Dubai in October 2005, the only indoor ski resort in the Middle East as a part of its customer business.
MAF JCB Card PJSC will start issuing JCB cards this July, first targeting existing and potential Majid Al Futtaim Group customers in the UAE for an estimated 150,000 cards in five years, and will soon expand to another target area. It will also be conducting marketing activities to develop partnerships with financial institutions for JCB card issuing and merchant acquiring businesses.
About MAF JCB Card PJSC (tentative name)
Capital: 100 million UAE dirham Establishment: 2007 February Headquarter: Dubai, the United Arab Emirates Shareholder Ratio: MAF Ventures LLC 60% ORIX Corporation 30% JCB International Co., Ltd. 10% Employee: 40 Business Area: Issuing Credit Cards, Developing License Partnerships
About the United Arab Emirates
In 1971 six emirates formerly under the control of the United Kingdom (Abu Dhabi, Dubai, Sharjah, Umm Al Quwain, Ajman and Fujairah) merged to create the United Arab Emirates (UAE). They were joined in 1972 by Ras Al Khaimah. The capital of the UAE is Abu Dhabi. The UAE is Japan's largest crude oil supplier, and imports automobiles, electric appliances and other products from Japan, forming strong economic ties between the two countries.
About Dubai
In recent years, to reduce economic dependence on oil production, Dubai has been developing tourism resources such as the world-class Burj Al-Arab hotel built on a man-made island off Jumeirah Beach and other luxury resorts, and the world's largest artificial island group, Palm Islands. As a result Dubai is attracting visitors not only from the Middle East, but from the rest of the world as well.
About JCB Co., Ltd.
JCB is an international credit card brand and the largest card issuer and acquirer in Japan. JCB launched its card business in Japan in 1961 and began expanding overseas in 1981. Its merchant network includes 14 million merchants and spans 190 countries and territories. JCB cards are now issued in 19 countries and territories, with more than 59 million cardmembers. As part of its international growth strategy, JCB has formed alliances with more than 350 leading banks and financial institutions globally to increase merchant coverage and cardmember base. As a comprehensive payment solution provider, JCB commits to provide the responsive and high-quality service and products to all customers worldwide. For more information, visit: www.jcb-global.com/english or www.jcbcorporate.com/english .
About ORIX Corporation
ORIX Corporation (TSE: 8591; NYSE: IX) is an integrated financial services group based in Tokyo, Japan, providing innovative value-added products and services to both corporate and retail customers. With operations in 24 countries and regions worldwide, ORIX's activities include leasing, corporate and consumer finance, real estate-related finance and development, life insurance, and investment banking. For more details, please visit our web site at: www.orix.co.jp/grp/index_e.htm
About Majid Al Futtaim Group
Majid Al Futtaim Group LLC. is the region's most prominent property developer. The Group opened the first shopping mall in 1995 and has since created businesses of international significance, which have changed the face of shopping, entertainment and leisure in the Middle East and North Africa (MENA). Over the past decade Majid Al Futtaim Group LLC. has taken its groundbreaking concepts across the region to Oman, Qatar, Saudi Arabia, Bahrain, Egypt, Lebanon and now Syria. The Group consists of four major operating subsidiaries including: MAF Properties LLC. (MAF Hospitality, MAF Shopping Malls, MAF Developments, MAF Investment), MAF Trust LLC.(MAF ORIX), MAF Retail LLC. (MAF Hypermarkets) and MAF Ventures LLC. (MAF Fashion, MAF Dalkia, MAF Greater Union). For additional information of the Majid Al Futtaim Group kindly visit www.majidalfuttaim.com.
Source: JCN http://www.japancorp.net
Contact:
Inquiries to JCB Kazumi Kinoshita International Strategy Planning JCB Co., Ltd. Tel: +81 3 5778 8390 Fax: +81 3 5778 8377 Kazumi.kinoshita@jcb.co.jp Inquiries to ORIX Raymond Spencer or Yui Takamatsu Corporate Communications ORIX Corporation Tel: +81-3-5419-5042 Fax: +81-3-5419-5901 orixir@orix.co.jp URL: www.orix.co.jp/index_e.htm Inquiries to Majid Al Futtaim Group Patricia Tellis / Amer Aidi Promoseven Weber Shandwick Dubai Tel: +971 4 321 0077 Fax: +971 4 321 1711 patricia.tellis@ promoseven.com amer.aidi@promoseven.com
Copyright [c] 2007 JCN Newswire. All rights reserved. A division of Japan Corporate News Network K.K.
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| Publication: | JCN Newswires |
|---|---|
| Geographic Code: | 7UNIT |
| Date: | Jan 26, 2007 |
| Words: | 1244 |
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