NET 1 UEPS TECHNOLOGIES INC - Net1 Elects to Withdraw from SASSA RFP

Net1 Elects to Withdraw from SASSA RFP

Net 1 UEPS Technologies, Inc.
Registered in the state of Florida, USA
(IRS Employer Identification No. 98-0171860)
Nasdaq share code: UEPS
JSE share code: NT1
ISIN: US64107N2062
(“Net1” or “the Company”)

Net1 Elects to Withdraw from SASSA RFP

Johannesburg, May 18, 2015 – Net 1 UEPS Technologies, Inc. (“Net1” or the
“Company”) (NasdaqGS: UEPS; JSE: NT1) today provided a further update on the
SASSA tender process.

The Company previously reported that management was analyzing the RFP to
determine whether it would be in the best interest of the Company for Cash Paymaster
Services (Pty) Ltd (“CPS”), a subsidiary of the Company, to participate in the tender
process or to focus on its other financial technology businesses without being a direct
contractor to SASSA. Management has recommended to the Company’s Board of
Directors that CPS should withdraw from the SASSA tender process and the Board
has accordingly agreed that CPS should not submit a bid.

Management reached this conclusion after careful consideration of all the relevant
factors, including financial feasibility of the RFP, further questions raised by
prospective bidders, execution of the Company’s strategic plan, legal risks,
reputational risk, and long term value creation for shareholders.

Management believes that the deployment of the Company business plan, which
focuses on providing a comprehensive suite of transactional products and services,
will allow it to service all South Africa’s unbanked and under-banked citizens
including social grant beneficiaries, but independently and without SASSA’s
limitations and constraints. The Company’s business plan includes the continued
successful deployment of its EasyPay Everywhere bank account, its biometric ATMs
and mobile portal, its suite of financial and added value services and the Company’s
proven and innovative technological systems. The Company believes that these
activities will ensure a sustainable business model that will, over time, far exceed the
benefits that could be realized from being the successful bidder for the SASSA RFP.

In addition, the execution of the business plan will no longer be limited by a five year
contract (or potentially shorter if legally challenged) and provides the Company with
the ability to freely determine pricing that is both competitive and profitable and
removes any unknown or contingent liabilities associated with Government contracts.
In addition, the Company expects to have more management bandwidth, which it
believes will fast track the Company’s international expansion, specifically the many
exciting opportunities that Zazoo has identified.

“We are very proud of our achievements that have placed South Africa as a leader in
social welfare delivery solutions. An achievement that has been recognized
worldwide!” said Dr. Serge Belamant, Chairman and CEO of Net1, “We have banked
10 million people, registered 22 million, eliminated fraud in excess of R3 billion per
annum and implemented solutions to assist the poorest South African citizens. We
have integrated 10 million people into the South African banking system and
economy, which has resulted in us being able to provide financial services to them,
thereby realizing the goal of financial inclusion that all developing countries strive
for. We are excited about our future prospects to expand the ability for all people,
regardless of their socio economic profiles, to have access to financial services such
as full-service banking accounts, loans, insurance, pre-paid services, money transfers
and the like,” he concluded.

Net1 management will host a conference call to discuss its decision on May 19, 2015,
at 8:00 a.m. Eastern Time. To participate in the call, dial 1-855-481 5362 (US and
Canada), 0808-162-4061 (U.K. only) or 0-800-200-648 (South Africa only) ten
minutes prior to the start of the call. Callers should request “Net1 call” upon dial-in.
The call will also be webcast on the Net1 homepage, www.net1.com. Please click on
the webcast link at least ten minutes prior to the call. A webcast of the call will be
available for replay on the Net1 website through May 31, 2015.

Management is also planning investor conferences during June 2015.

About Net1 (www.net1.com)

Net1 is a leading provider of alternative payment systems that leverage its Universal
Electronic Payment System (“UEPS”), to facilitate biometrically secure, real-time
electronic transaction processing to unbanked and under-banked populations of
developing economies around the world in an online or offline environment. Net1's
UEPS/EMV solution is interoperable with global EMV standards that seamlessly
permit access to all the UEPS functionality in a traditional EMV environment. In
addition to payments, UEPS can be used for banking, healthcare management,
payroll, remittances, voting and identification.

Net1 operates market-leading payment processors in South Africa and the Republic of
Korea. In addition, Net1's proprietary MVC technology offers secure mobile
payments and banking services in developed and emerging countries.

Net1 has a primary listing on the NASDAQ and a secondary listing on the
Johannesburg Stock Exchange.

Forward-Looking Statements

This announcement contains forward-looking statements that involve known and
unknown risks and uncertainties, including without limitation, the risk of our being
able to execute our business plan successfully without a contract with SASSA and to
successfully expand our non-South African businesses. A discussion of various
factors that may cause our actual results, levels of activity, performance or
achievements to differ materially from those expressed in such forward-looking
statements are included in our filings with the Securities and Exchange Commission.
We undertake no obligation to revise any of these statements to reflect future events.

Investor Relations Contact:

Dhruv Chopra
Head of Investor Relations
Phone: +1-917-767-6722
Email: dchopra@net1.com

Johannesburg
May 18, 2015

Sponsor:
Deutsche Securities (SA) Proprietary Limited

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