Net 1 UEPS Technologies (UEPS) Cancels the Exercise of Options to Acquire Additional 35% Interest in Bank Frick

April 15, 2020 7:06 AM EDT

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Net 1 UEPS Technologies, Inc. (NASDAQ: UEPS) today announced that it has cancelled the exercise of its option to acquire an additional 35% interest in Bank Frick & Co. AG (“Bank Frick”) from the Kuno Frick Familienstiftung (“KFS”), in order to maintain liquidity in the current uncertain and volatile macroeconomic environment, and to sharpen its short-term focus on opportunities in South Africa and Africa. Net1 agreed to pay KFS an option termination fee of CHF 17 million (USD 17.5 million at prevailing exchange rates), and intends to retain its remaining 35% interest.

Bank Frick will continue to focus on its strategy of providing fintech and blockchain banking services to financial intermediaries, and will opportunistically leverage Net1 and its International Payments Group, to introduce new payment and blockchain-related products.

Despite the cancellation of the option, Net1 maintains a strong relationship with the management and shareholders of Bank Frick, and will continue working closely with them. The board would like to thank KFS and Bank Frick for their understanding and support during these unprecedented times.

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