Mint Technology Corp.
TSX VENTURE : MIT

Mint Technology Corp.

August 20, 2012 15:13 ET

Mint Acquires Global Money Remittance Business

TORONTO, ONTARIO--(Marketwire - Aug. 20, 2012) -

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Mint Technology Corp. (TSX VENTURE:MIT) ("Mint") announced today that Mint Finance Inc., a wholly owned subsidiary of Mint, has signed a Share Purchase Agreement, with the principal shareholders of the Speed Remit Group of Companies ("Speed Remit"), a Financial Services Authority ("FSA") regulated remittance company based in the United Kingdom (registered since 2001) with money transfer licenses and interests in the United States, United Kingdom, Canada, Australia, Hong Kong, and Kuwait and additional representative offices in UAE, Qatar, Pakistan, India and Bangladesh. Speed Remit currently has a network of 60,000+ payment points across more than 95 countries with over 2 million customers spanning 5 continents.

The terms for the settlement and closing of the acquisition, which is scheduled for September 12, 2012, are as follows:

  • Subject to the terms and conditions of the Agreement, the price payable in consideration of Speed Remit agreeing to sell, assign, and transfer the equity interests shall be US$6,500,000.
  • Of the US$6,500,000, US$1,500,000 will be a deferred settlement payment subject to conditions defined in the Share Purchase Agreement.
  • Mint Technology Corp. has given a guarantee for the purchase price.

Over the last 3 years, Speed Remit has averaged US$267,125,303 total remittances based on an average of 483,641 transactions. Based on surveys taken of Mint's current cardholder based, approximately 80% (approximately US$150 million/month) of cardholders' payroll is sent home through alternative money transfer service providers. With only a 20% take-up rate by Mint's current 400,000+ cardholder base in UAE alone using Mint's money transfer services, Mint will potentially be able to double Speed Remit's current remittance turnover.

Chris Hogg, Executive Chairman, said today, "The acquisition of Speed Remit is a key component in the successful execution of Mint's long term business plan. With operations in Saudi Arabia, United Arab Emirates and Kuwait, countries with the highest percentages of remittances in the GCC, this acquisition will provide a strong foothold for Mint and our planned expansion across the GCC. Our ability to be able to offer our own money transfer product to our present and future cardholder base creates a significant advantage when competing against others that typically only have single product offering."

FORWARD-LOOKING STATEMENTS

Certain statements in this news release constitute "forward-looking" statements. These statements relate to future events or our future performance. Forward looking statements include the forecasted amount of remittances Mint expects to do and the percentage of take-up rate by Mint's current cardholder base. All such statements involve substantial known and unknown risks, uncertainties and other factors which may cause the actual results to vary from those expressed or implied by such forward-looking statements. Forward-looking statements reflect current expectations regarding future events and operating performance and speak only as of the date of this news release. Forward-looking statements involve significant risks and uncertainties, they should not be read as guarantees of future performance or results, and they will not necessarily be accurate indications of whether or not such results will be achieved. Actual results could differ materially from those anticipated due to a number of factors and risks. Although the forward-looking statements contained in this news release are based upon what management of Mint believes are reasonable assumptions on the date of this news release, Mint cannot assure investors that actual results will be consistent with these forward-looking statements. The forward-looking statements contained in this press release are made as of the date hereof and Mint disclaims any intention or obligation to update or revise any forward-looking statements whether as a result of new information, future events or otherwise, except as required under applicable securities regulations.

ABOUT SPEED REMIT GROUP OF COMPANIES

Speed Remit Worldwide is a Financial Service Authority (FSA) regulated, ISO 9001:2008 certified remittance company based in the United Kingdom and the UAE with money transfer licenses and interests in the US, United Kingdom, Australia, Canada, Hong Kong, and Kuwait. As an International Money Transfer company, Speed Remit has earned trust and confidence of its customers over the past few years. Speed Remit presently has a network of 60,000+ payment points across 95+ countries with over 2 Million customers. Speed Remit is one of few companies in this industry to achieve this in such a short span of time. Speed Remit Worldwide Ltd is a UK based Money Transfer Company, licensed under HMRC since 2004, and regulated by FSA (Financial Services Authority), having its corporate office in United Kingdom. Speed Remit has 11 offices in other countries covering 5 continents. The Company has acquired the SWIFT membership to take the Money Transfer Business to higher levels and recently tied up with one of the leading Mobile Service Providers for Mobile Money Transfer facility.

ABOUT MINT TECHNOLOGY CORP.

Established in 2004, Mint is the world's first vertically integrated prepaid card and payroll services provider with its own ATM network, payment processing platform and proprietary branded card product including microcredit, mobile top up and money remittance services delivered seamlessly to workers throughout the Middle East and North Africa region. Mint operates through 4 subsidiaries, Mint Middle East, a payroll card services provider, Mint Capital (for Mint Money group of products), a financial products distribution company, Mint Global Processing, a fully integrated third party processing platform and, Mint Electronic Payment Services trading as ePAY, a mobile airtime POS and Merchant network solutions business. Mint has 108 employees in 8 offices in UAE (3), Qatar, Jordan, Egypt, USA and Canada where Mint is listed on the Toronto Stock Exchange (TSX VENTURE:MIT).

For additional information please visit www.mintinc.com.

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