Net 1 UEPS Technologies Inc.

Net 1 UEPS Technologies Inc.

November 16, 2009 07:00 ET

Net 1 UEPS Technologies Inc. Announces Sale of Up to One Million Shares by Chairman and CEO

JOHANNESBURG, SOUTH AFRICA--(Marketwire - Nov. 16, 2009) - Net 1 UEPS Technologies Inc. ("Net1" or the "Company") (NASDAQ:UEPS)(JSE:NT1) announced today that Dr. Serge Belamant, its Chairman and Chief Executive Officer, plans to sell up to one million shares of his personal holdings in the Company. The sales will occur in the open market at the prevailing market price and will be subject to regulatory restrictions imposed on affiliates and insiders, including Rule 144. If these sales are completed, Dr. Belamant would continue to beneficially own approximately one million shares, or 2.2% of the Company's outstanding stock.

"This year marks the 20-year anniversary since I founded the Company, and my decision to sell part of my holdings is based exclusively on my desire to diversify my assets and assist me in estate planning," said Dr. Serge Belamant. "Net1's existing business and pipeline of future opportunities is strong, and I remain firmly committed and engaged toward driving sustained profitable growth for the Company," he added.

About Net1 (

Net1 provides its universal electronic payment system, or UEPS, as an alternative payment system for the unbanked and under-banked populations of developing economies. The Company believes it is the first company worldwide to implement a system that can enable the estimated four billion people who generally have limited or no access to a bank account, to enter affordably into electronic transactions with each other, government agencies, employers, merchants and other financial service providers using UEPS. The system uses smart cards that operate in real-time but offline, unlike traditional payment systems offered by major banking institutions that require immediate access through a communications network to a centralized computer. This offline capability means that users of the Net1 system can enter into transactions at any time with other card holders even in the most remote areas so long as a portable offline smart card reader is available. In addition to payments and purchases, UEPS can be used for banking, healthcare management, international money transfers, voting and identification.

The Company also focuses on the development and provision of secure transaction technology, solutions and services. The Company's core competencies around secure online transaction processing, cryptography and integrated circuit card (chip/smart card) technologies are principally applied to electronic commerce transactions in the telecommunications, banking, retail, energy and utilities market sectors. Additionally, through our majority-owned subsidiary, BGS Smartcard System AG ("BGS") based in Austria, we have implemented develop and integrate smart card-based offline and online financial transaction systems in cooperation with banks, enterprises and government authorities in Russian and the Commonwealth of Independent States.

Net1 has a primary listing on the Nasdaq and a secondary listing on the JSE Limited.

Forward-Looking Statements

This announcement contains forward-looking statements that involve known and unknown risks and uncertainties. A discussion of various factors that cause the Company's actual results, levels of activity, performance or achievements to differ materially from those expressed in such forward-looking statements are included in the Company's filings with the Securities and Exchange Commission. The Company undertakes no obligation to revise any of these statements to reflect future circumstances or the occurrence of unanticipated events.

4th Floor, North Wing
President Place, Cnr. Jan Smuts Avenue and Bolton Road
Rosebank, Johannesburg, South Africa
Tel: 011-27-11-343-2000 Fax: 011-27-11-880-7080

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