As referred to in the Cardpoint 2006 annual report, the ETU Business has never benefited from the economies of scale of the larger competitors in this market and it has therefore been difficult to expand the business. The ETU Business does not make a material financial contribution to Cardpoint and does not complement the cash machine business. It has therefore been regarded as a non core activity and the Company has been looking for a purchaser for the business which would represent a more suitable partner to take it forward. The acquisition of the ETU Business by Alphyra provides the ETU Business with on-going stability and continued strong support for future activities and developments as part of the UK's largest branded network for payments and collections with terminals in over 25,000 retail outlets around the country.

Proceeds from the sale of an initial consideration of £0.7m and anticipated deferred consideration of £0.7m, will be used to reduce the net borrowings of Cardpoint.