LESAKA TECHNOLOGIES INC - Lesaka to acquire prepaid elec submetering and payments business Recharger, expanding alternative payments offering

Lesaka to acquire prepaid elec submetering and payments business Recharger, expanding alternative payments offering

Lesaka Technologies, Inc.
Registered in the state of Florida, USA
(IRS Employer Identification No. 98-0171860)
Nasdaq share code: LSAK
JSE share code: LSK
LEI: 529900J4IZMWV4RDEB07
ISIN: US64107N2062
("Lesaka," or the "Company")

Lesaka to acquire prepaid electricity submetering and payments business Recharger, expanding alternative payments offering

JOHANNESBURG, November 20, 2024 – Lesaka (Nasdaq: LSAK; JSE: LSK) today announced that it has signed a definitive agreement
to acquire 100% of the issued and outstanding ordinary shares of Recharger (Pty) Ltd ("Recharger"), a South African prepaid electricity
submetering and payments business.

The purchase consideration of ZAR 507 million ($28 million translated at the average exchange rate of $1: ZAR 18.06 as of November
18, 2024) will be paid over two tranches with the first tranche settled at closing and the second tranche a year later. The purchase
consideration will be settled through a combination of ZAR 332 million ($18 million) in cash and ZAR 175 million ($10 million) in
shares of Lesaka common stock. The share price applied to determine the number of shares of Lesaka's common stock to be issued for
the equity consideration will be based on the volume-weighted average price of Lesaka shares for the three-month period prior to the
disbursal of each tranche. Lesaka will also make a ZAR 43 million ($2 million) contribution to Recharger at closing which will be used
exclusively to repay a loan due by Recharger to the seller.
The Company expects the transaction to be concluded at an EV/EBITDA multiple of approximately 6.0 times.

Recharger is expected to sit within the Enterprise pillar of Lesaka's Merchant Division. The Company expects the acquisition to act as
an entry point into the South African private utilities space while augmenting the Enterprise pillar's alternative payment offering.

The transaction is expected to close in Lesaka's third quarter of fiscal 2025 and is subject to regulatory approvals and satisfaction of
customary closing conditions.

About Recharger (www.recharger.co.za)

Recharger is a South African prepaid electricity submetering and payments business with a base of over 460,000 registered prepaid
electricity meters.

Recharger enables landlords to collect payment for utilities usage from tenants in advance, eliminating the need to manage billing and
collections. This model further provides tenants with the ability to manage their utility usage and payments directly, providing them
with greater control over cost.

About Lesaka (www.lesakatech.com)

Lesaka Technologies, (Lesaka™) is a South African Fintech company driven by a purpose to provide financial services and software to
Southern Africa's underserviced consumers (B2C) and merchants (B2B), improving people's lives and increasing financial inclusion in
the markets in which we operate. We offer a wide range of integrated payment solutions including transactional accounts (banking),
lending, insurance, payouts, cash management solutions, card acceptance, supplier payments, software services and bill payments. By
providing a full-service fintech platform in our connected ecosystem, we facilitate the digitization of commerce in our markets.

Lesaka has a primary listing on NASDAQ (NasdaqGS: LSAK) and a secondary listing on the Johannesburg Stock Exchange (JSE:
LSK). Visit www.lesakatech.com for additional information about Lesaka Technologies (Lesaka ™).

Forward-Looking Statements

This press release contains certain statements that may be considered forward-looking statements within the meaning of Section 27A of
the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, and such statements are
subject to the safe harbor created by those sections and the Private Securities Litigation Reform Act of 1995, as amended. Such
statements may be identified by their use of terms or phrases such as "expects," "estimates," "projects," "believes," "anticipates,"
"plans," "could," "would," "may," "will," "intends," "outlook," "focus," "seek," "potential," "mission," "continue," "goal," "target,"
"objective," derivations thereof, and similar terms and phrases. Forward-looking statements are based upon the current beliefs and
expectations of our management and are inherently subject to risks and uncertainties, some of which cannot be predicted or quantified,
which could cause future events and actual results to differ materially from those set forth in, contemplated by, or underlying the forward-
looking statements. In this press release, statements relating to future financial results and future financing and business opportunities
are forward-looking statements. Additional information concerning factors that could cause actual events or results to differ materially
from those in any forward-looking statement is contained in our Form 10-K for the fiscal year ended June 30, 2024, as filed with the
SEC, as well as other documents we have filed or will file with the SEC. With respect to our proposed acquisition of Recharger,
additional factors that could cause actual results to differ materially from those indicated or implied by the forward-looking statements
include, among others: (1) the occurrence of any event, change or other circumstances that could give rise to the termination of the
purchase agreement relating to the proposed acquisition; (2) the ability to satisfy all conditions to completion of the proposed acquisition,
including obtaining regulatory approvals; (3) unexpected costs, charges or expenses resulting from the transaction; (4) the disruption of
management's attention from our ongoing business operations due to the proposed acquisition; (5) changes in the financial condition of
the markets that Recharger serves; (6) risks associated with Recharger's product and service offerings or its results of operation, lower
than expected growth in Recharger's meters deployed and transactions affected through its meter base; (7) the challenges, risks and
costs involved with integrating the operations of Recharger with ours; and (8) our ability to realize the anticipated benefits of the
proposed acquisition. We assume no obligation to update the information in this press release, to revise any forward-looking statements
or to update the reasons actual results could differ materially from those anticipated in forward-looking statements.

Investor Relations and Media Relations Contacts:
Phillipe Welthagen
Email: phillipe.welthagen@lesakatech.com
Mobile: +27 84 512 5393

Media Relations Contact:
Ian Harrison
Email: Ian@thenielsennetwork.com

Johannesburg
November 20, 2024

Sponsor:
Rand Merchant Bank, a division of FirstRand Bank Limited

Date: 20-11-2024 07:05:00
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