Net1 to Acquire Korean Payment Processing Company KSNET
Net 1 UEPS Technologies has acquired 98.73% of KSNET, a South Korean payment processor, for US$233m. KSNet is a fast growing and profitable payment solutions provider, has a broad product offering, a base of approximately 200,000 merchants and an extensive direct and indirect sales network.
Net1 believes that the acquisition of KSNet will strengthen its long-term growth platform. KSNet’s core card value-added network (VAN) business is similar to Net1’s South African EasyPay operation, thereby creating an opportunity to incorporate new offerings such as the value-added services offered by EasyPay.
“This transaction marks a key milestone for Net1, and fits squarely into our long-term vision of globalising the company, penetrating certain key growth markets, while also diversifying our business internationally,” said Dr Serge Belamant, Net1’s chairman and chief executive officer (CEO). “KSNet offers us the opportunity to further capitalise on its position in a high growth market, advance its newer businesses in banking VAN and payment gateways, as well as introduce key products and services from Net1’s EasyPay and Mobile Virtual Card offerings, providing a comprehensive and differentiated solution to cardholders, financial institutions and merchants in Korea.”