MasterCard, one of the world’s leading providers of credit cards, has purchased eCommerce fraud protection firm Ethotica, the company said in a statement.
Ethotica is a global network speciailzes in proving real-time, collaborative solutions for partner banks and merchants to provide better payment experiences to their customers.
Speaking about the new partnership, Andre Edelbrock, Ethoca CEO, highlighted the new potential reach of the company’s services as a key factor in agreeing to the acquisition.
“Mastercard is a natural home for Ethoca…For more than a decade, we’ve connected e-commerce businesses with banks to make the payments system simpler and more secure. We are excited to have the opportunity to bring our services to more places and people, ultimately contributing to the best possible online payment experience,” he said.
Mastercard president of cyber and intelligence solutions, Ajay Bhalla, also spoke enthusiastically about the agreement. In a statement, he highlighted the potential for the partnership to help merchants more effectively identify fraudulent purchases, while simultaneously keeping false declines to a minimum.
“Ethoca is a strong addition to our multilayered cyber strategy, helping customers take immediate action against fraud and eliminate chargebacks before they can occur. In turn, consumers are provided with a better checkout experience every time they shop at a participating site,” he said.
Investors are still awaiting details of the agreement to be released. The deal is expected to be finalized in the second quarter of this year.
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