FundsTech Corp. (BULLETIN BOARD: FNDS) (Frankfurt: "FT4," A0MWLG) today is releasing a shareholder update announcement. FundsTech Corp. announces that it has signed a Letter of Intent ("LOI") to acquire all the assets of a U.S. based company that sells its credit and debit card programs to merchants and employers throughout the U.S. with a current installed base of 5,000 merchant accounts that generate $300,000,000 worth of credit card transactions annually.
Michael Dodak, CEO of FundsTech stated, "We are very pleased to announce this LOI to acquire a large and growing company with a base of installations in the U.S. We will also be acquiring a platform that will enable us to provide a complete ACH and E Check solution for both the U.S. as well as for our customers around the world. We intend to use this acquisition to begin a push into the U.S. market for both debit and credit card solutions, but more importantly this provides us with skill sets and additional resources that we will use internationally. The completion of this transaction will allow us to generate revenue sooner than anticipated and along with the launch and delivery of our cards (1.5 million cards) to our South African customers goes a long ways towards the achievement of our revenue, profit and EBITDA goals for 2008."