FOR IMMEDIATE RELEASE

Hitachi-Omron Terminal Solutions to Acquire Interblocks,
a Sri Lanka Provider of Payment related Software & Services
Accelerating global development of payment channel solutions
for cash and non-cash transactions
Tokyo, July 18, 2019 --- Hitachi-Omron Terminal Solutions, Corp. (“Hitachi-OmronTerminal Solutions”) today announced that it has agreed with Interblocks Limited(“Interblocks”), a provider of various payment-related software products and services
to financial institutions and retail businesses based in Sri Lanka, to acquire alloutstanding shares of Interblocks, making it a wholly-owned subsidiary. Hitachi-Omron
Terminal Solutions will proceed with the completion of the acquisition based on thisagreement going forward.
Hitachi-Omron Terminal Solutions and Interblocks entered into a capital and businessalliance agreement*1 in May 2018 and have been establishing a partner relationshipincluding service development cooperation. This acquisition enables Hitachi-Omron
Terminal Solutions to provide payment service infrastructure by making use of theexcellent software suites and product development capabilities that Interblocks owns.
Hitachi-Omron Terminal Solutions will accelerate the development of solutions that
accommodate cash and non-cash transaction channels such as Automated Teller
Machines (ATMs), bank counters, mobile banking or smartphone-based payment for
the global market including India and Southeast Asia, which Hitachi-Omron Terminal
Solutions focuses on.
In recent years, the environment surrounding global financial institutions has been
rapidly changing. Payment methods are diversifying due to the expansion of cashless
payment and the spread of mobile terminals, including smartphones. The expansionof payment transactions arose from enhancements in payment infrastructure inemerging countries. In addition, FinTech companies also pursue the commercialisationof new services. As such, financial institutions are required to respond promptly tothese changes.
Interblocks provides a broad product lineup designed to connect with multiple banking
channels, such as ATMs, Point Of Sale (POS), mobile terminals, and more. It has
sophisticated software development capabilities in the settlement market. Interblocks- more --2-

operates mainly in Asia, including Sri Lanka and the Philippines. Its payment service
infrastructure features a switching system that processes transaction data at its coreand is an integrated platform comprising diverse software groups accommodating
multiple channels such as mobile wallets and One-to-One marketing*2. Highly
expandable and exceptionally flexible, it also enables seamless payment transactions
regardless of channel or device. The software built on the framework of componentoriented*3 design can easily address customer needs such as expansion requirements
or function changes.
With Interblocks on board as one of the group companies, Hitachi-Omron Terminal
Solutions will, beyond the sale and maintenance business of ATMs, further develop asolution business centered on the payment service infrastructure of Interblocks on aglobal basis. The company is committed to addressing various needs, such as thereinforcement of services and operation efficiency, at financial institutions.
Additionally, in collaboration with Hitachi Payment Services Pvt. Ltd. (Hitachi PaymentServices), a wholly-owned subsidiary of Hitachi based in India that provides
managed services*4 for ATMs and POS, Hitachi-Omron Terminal Solutions will strive tofurther expand the solution business utilising Hitachi Payment Services’ abundanttechnologies and know-how. Looking ahead, Hitachi-Omron Terminal Solutions will
make group-wide efforts to create new services through the analysis and use ofpayment data.
Comment from Tetsuya Yagi, Representative Director and President, HitachiOmron Terminal Solutions:
We welcome Interblocks into our Group. Since the signing of a business allianceagreement with Interblocks in May last year, we have been jointly developing solutions
for payment channels. In a short period of time, we have received a lot of inquiries
about the solutions, and we were able to confirm the presence of needs and businessviability. Hitachi-Omron Terminal Solutions and Interblocks are committed to contributeto the financial and payment market together.
Based on the know-how and core technologies gained from cash recycling ATMs,
Hitachi-Omron Terminal Solutions will establish an integrated payment infrastructurewith Interblocks’ softwares and solutions and the services of Hitachi Payment Services
to develop cash and non-cash payment-related service solutions.

- more --3-Comment from Dinesh Rodrigo, Managing Director and CEO, Interblocks:
We are truly excited to move into this next stage of our company’s journey as part of
the Hitachi-Omron Group, and honoured that an organization of this heritage, strengthand global presence recognizes the potential in our solutions offering. The rapid
evolution of our partnership in the short period of just over a year is a testament to theexceptional synergies between our companies and the alignment of our visions for thefuture of the FinTech space which we believe lies in integrated scalable and adaptivesolutions. The unique knowledge and capabilities we each bring to the table will enable
us to achieve this vision and continue to provide market leading technology in this
rapidly evolving space.
On positive note it will also be a boost to Sri Lanka that, global leaders are still seeing
opportunity in Sri Lankan businesses, we hope this sends a positive message to local
companies and global investors alike.
*1 Hitachi-Omron Terminal Solutions Establishes Capital and Business Alliance with Interblocks Limited
https://www.hitachi-omron-ts.com/news/201805-001.html*2 The service meeting individual needs based on data such as user’s attributes or action history. For instance, on an ATM, aservice to display a withdrawal amount or a transaction button frequently used, or ads in accordance with age, account balance,etc.
*3 A technique to efficiently design/develop systems combined with reusable part (components).
*4 A characteristic of the operation and maintenance services of Hitachi Payment Services is a provision of a comprehensive
range of services from procurement of equipment to holding, installment, monitoring and maintenance of assets.

Outline of Interblocks Limited
Corporate nameInterblocks Limited

Outline of business

Development and sale of software products for financial andpayment services and delivery of various solutions and services

Headquarters

Colombo, Democratic Socialist Republic of Sri Lanka

Representative

CEO & Managing Director: Dinesh Rodrigo

Established

August, 2000

Capital

150 Million Sri Lanka rupee (as of March 2018)

Number of employees

176 (as of December 2018)

Business operation base

Sri Lanka, the Philippines

Websitehttp://www.interblocks.com/- more --4-

About Hitachi-Omron Terminal Solutions, Corp.
Hitachi-Omron Terminal Solutions, Corp. headquartered in Tokyo, Japan, is a memberof the Hitachi Group and a leading vendor of cash recycling ATMs in the world. HitachiOmron Terminal Solutions provides highly reliable ATMs and bank systems that
address real user needs. The company supports a secure, safe, and comfortablesociety through our prominent technologies and innovative solutions.
For more information about Hitachi-Omron Terminal Solutions, please visit:https://www.hitachi-omron-ts.com/
For inquiries regarding this matter, please visit:https://www8.hitachi.co.jp/inquiry/hitachi-omron-ts/general/en/form.jsp###