Mint Technology Corp.
TSX VENTURE : MIT

Mint Technology Corp.

May 19, 2011 13:59 ET

Mint Technology Announces Agreement to Purchase Prepaid Card Portfolio

TORONTO, ONTARIO--(Marketwire - May 19, 2011) -

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Mint Technology Corp. ("Mint" or the "Company") (TSX VENTURE:MIT) announces that the Company has entered into a binding Term Sheet with a Payroll Card Services provider, an arm's length company located in the Middle East, for the acquisition of the prepaid card business owned by that Company with a portfolio of approximately 160,000 prepaid cards. Mint has approximately 165,000 prepaid cards under management and has recently announced contract wins from new customers totalling a further 75,000 cards.

The acquisition price is $5,000,000, of which $1,250,000 is payable on closing (expected to be no later than June 15, 2011), $1,250,000 is payable on the transfer of the card portfolio to Mint's platform (anticipated to be 45 days after closing) and $2,500,000 is payable 135 days following closing.

The purchase is subject to the satisfaction of a number of conditions, including satisfactory due diligence, the execution of a definitive agreement of purchase and sale and TSX Venture Exchange approval.

Mint also announces that it expects to complete the first tranche of the $6 million private placement announced on March 24, 2011. Mint also expects that a second and final tranche of this placement will occur prior to June 30, 2011. Proceeds from these closings will be utilized in part to satisfy the acquisition of the prepaid card portfolio mentioned above. Mint's President and CEO, Chris Hogg, said, "This acquisition scales Mint's prepaid card business in the Middle East to double its current size and together with already announced new contracts, will position the Company to be processing in excess of 400,000 cards once completed and deployed."

Mint also announces that, by mutual agreement, TerraNova Partners LP II will not proceed with its proposed investment of $3 million in units of Mint (previously disclosed on March 24, 2011).

Mint will release a further more comprehensive news release on the acquisition, including details of the portfolio and its expected financial performance as soon as possible.

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 expected closing date of the acquisition and the size of the card portfolio owned by the Payroll Card Services Provider and the completion of the private placement described in this news release. 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. In addition to other risks, the closing of the acquisition could be delayed or fail to proceed if the satisfaction of any of the conditions of closing are delayed or not satisfied and the completion of the private placement could be delayed or fail if TSX Venture Exchange approval is delayed or subscriptions are not received. 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 MINT TECHNOLOGY CORP

Mint Technology Corp. is a pioneer in prepaid financial products and services and was Canada's first provider of prepaid credit card programs. Today, Mint through its subsidiary Mint Middle East LLC based in Dubai designs, builds and manages an end to end card based payments solution for employers and employees for the payment of wages and benefits. Mint has developed a secure, robust payments platform that provides an improved means to handle and manage these financial transactions. Mint also provides services for those clients looking to move towards 'next generation' payment methods that include chip, internet, data mining and mobile phone load and money remittance technologies.

Stock Symbol: MIT on the TSX Venture Exchange.

NEITHER TSX VENTURE EXCHANGE NOR ITS REGULATION SERVICES PROVIDER (AS THAT TERM IS DEFINED IN THE POLICIES OF THE TSX VENTURE EXCHANGE) ACCEPTS RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS RELEASE.

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