Mobile funds-transfer company M.POS (HK) is staking its claim to the e-commerce market with a service that allows merchants to process transactions through portable terminals. M.POS is an electronic system for funds transfer at point of sale. Chief executive Allan Tsang said the company began testing M.POS two weeks ago and had started talking with banks about its launch next month. M.POS (HK), a private company, last Friday sold a 25 per cent stake to listed Wah Tak Fung Holdings for $30 million. Mr Tsang said fixed line-based electronic funds-transfer systems at point of sale focused on indoor transactions. The mobility and portability of the company's M.POS system would enable growth into a wider marketplace, he said. 'Banks benefit from the expansion of their business to previously inaccessible areas away from telephone lines,' Mr Tsang said. Merchants would be able to accept card payments anywhere within the mobile telephone network. M.POS (HK) would expand in Hong Kong, the mainland, Macau and Taiwan, Mr Tsang said, adding investment in Hong Kong would be about $50 million. The company expects to break even in two years. Wah Tak Fung chairman David Chu Yu-lin said the M.POS (HK) stake was the first step in the group's investment in information and technology. 'This will be the new investment direction of the company,' he said.