Business
Esprit Financial Group Inc. (Esprit) (EFGO.PK) Signs Memorandum of Understanding with Money Check to Deploy ATMs in the Chinese Market
Esprit Financial Group Inc. (Esprit) (EFGO.PK) Signs Memorandum of Understanding with Money Check to Deploy ATMs in the Chinese Market.
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[{"type":"text","content":"LAS VEGAS, NV, July 29, 2007 - Esprit Financial Group Inc. (ESPRIT) (EFGO.PK) www.espritfinancialgroup.com is pleased to announce that it has signed a Memorandum of Understanding with Money Check International Inc. (www.moneycheck.com.hk), a Hong Kong based company, to deploy ATMs in China on a Joint Venture basis.\n\nEsprit management has had very productive meetings over the last week with Money Check, a Hong Kong based vendor of ATMs. The parties have agreed to proceed to detailed negotiations in order to develop a joint venture to deploy ATMs within mainland China.\n\nEsprit CEO Garr Winters advised; \"The market opportunity for ATMs is tremendous. Current estimates place the number of ATMs in China at roughly 10,000. Industry forecasts suggest that this will grow to 1 million over the next 5 - 7 years. \n\nImportantly, ATM technology is quite mature, so the Chinese market can leapfrog past the initial deployment stages experienced within the North American market when ATMs were first introduced here. Thus, growth can be accelerated at a much higher pace.\n\nGross revenue per transaction within China is currently 7.5 times higher than mature markets like North America. A typical ATM transaction in China generates roughly USD $3.00 in revenue, versus roughly USD $0.40 in North America in interchange fees alone. \n\nWe will be working together with Money Check building a business case and business model to support the deployment of ATMs in the Chinese Market. Our pre-existing relationship with Government and banking officials will be invaluable in defining our approach to market\".\n\nIn other Company news, senior management reports that there will be a 2-3 week delay in obtaining 'Pink Checkmark' status from the Pink Sheets. \n\nGarr Winters explained; \"This is a major disappointment for us, and our loyal shareholders. In discussions with our legal counsel, we had been under the impression that all of the required paperwork had been completed and submitted for approval by the Pink Sheets. However, Pink Sheets advised us on July 25th that our documentation was still incomplete. \n\nOur legal counsel obviously underestimated the sheer volume of legal documentation, which consists of literally hundreds of pages, and failed to notify us that there would be any problem providing Pink Sheets with the required disclosure ahead of t...