About EFT SOLUTIONS Company

We are a leading supplier of electronic payment terminal solutions, focusing on the procurement of electronic payment terminals and peripheral equipment and electronic payment terminal system support services in Hong Kong. We position ourselves as a bridge between electronic payment terminal manufacturers and billing institutions, providing a full range of electronic payment terminal solutions, including procurement services for electronic payment terminals and peripheral equipment, as well as developing software that complies with the acceptance certification of electronic payment standards and providing installation, daily maintenance, maintenance and other related services for electronic payment terminals (“electronic payment terminal system support services”). In addition, we also provide software solution services tailored to individual projects for billing agencies and merchants. We provide electronic payment terminals and peripheral equipment procurement services for billing institutions and merchants. We are a value-added partner for Verifone Systems International Limited (a subsidiary of Verifone) and a subsidiary of Supplier B. According to the Frost & Sullivan report, Verifone and Supplier B were the top two global electronic payment terminal manufacturers in terms of revenue in 2015. As a value-added partner, we promote and market products and develop software applications for related electronic payment terminals that can be certified by Hong Kong and Macau billing agencies. We have established a long-term business relationship with Verifone since October 2008, a long-term business relationship with Baifu since 2009/5, and a long-term business relationship with Supplier B since 2010/11. With our experience in the electronic payment industry and the good business relationships we have established with manufacturers of electronic payment terminals and peripheral equipment, we are able to recommend suitable electronic payment terminal solutions that meet customer requirements. In the two years ending March 31, 2015 and March 31, 2016, we purchased electronic payment terminals and peripheral equipment for our customers and earned revenue of approximately HK$14.0 million and HK$20.6 million respectively. According to the Frost & Sullivan report, electronic payment terminal manufacturers and billing agencies may not necessarily set up teams to provide electronic payment terminal system support services in the markets where they operate, so they usually outsource electronic payment terminal system support services to electronic payment terminal solution providers. Our electronic payment terminal system support services involve the installation, maintenance, recycling, repair and other related services for electronic payment terminals placed in merchants by billing agencies. Relevant merchants include Hong Kong chain stores and department stores such as Baijia, DFS, Watson's, and Hong Kong Sogo Department Store. As part of our electronic payment terminal system support service, we also provide merchants with a 24-hour hotline service and basic training to use electronic payment terminals. On March 31, 2016, we signed service arrangements with four electronic payment terminal manufacturers to provide electronic payment terminal system support services, covering 15 billing agency notes, and directly providing electronic payment terminal system support services to 10 billing institutions and 5 merchants, covering about 46,000 electronic payment terminals in Hong Kong and Macau. In the two years ending March 31, 2015 and March 31, 2016, we earned revenue of approximately HK$19.9 million and HK$24.4 million respectively through the provision of electronic payment terminal system support services. According to the Frost & Sullivan report, in 2015, we ranked first in terms of revenue from electronic payment terminal solution providers that provide support services for electronic payment terminal systems, accounting for 54.0% of Hong Kong's market share. We also provide value-added software solutions by developing software tailored to individual projects. These solutions simplify data collection procedures, thereby optimizing payment transaction processing and operation processes for billing agencies and merchants. During the track record period, we developed software related to (among others) customer relationship management and e-retail management (“ERM”) for our clients. In the two years ending March 31, 2015 and March 31, 2016, we earned about HK$1.3 million and HK$1.0 million respectively from developing software solutions for individual projects.