When Aplitec CEO Serge Belamant patented the universal electronic payment system (UEPS) in 1989, it found few takers. Today the world is coming to Aplitec for the solution that UEPS offers to the problem of providing cost-effective financial services to mass, unbanked markets.
Already in use in six African and two Eastern European countries, UEPS achieved its big global breakthrough last year: Aplitec's appointment as exclusive provider of smart-card financial delivery systems to the Commonwealth secretariat and its 54 member countries.
Investment market recognition has also come, propelling Aplitec into the position of third-largest SA-listed IT company in terms of market capitalisation. Not bad for a group that listed as a venture capital company in 1997.
"It has taken hard work and confidence that you have technology that can provide the majority of people unqualified access to otherwise inaccessible services," says Belamant.
Smart cards that "talk" to each other and make secure electronic transactions and data transfers possible were a revolutionary concept, says Belamant. "UEPS was the world's first commercial electronic purse and with any revolutionary technology you first have to demonstrate that it does what it claims to do."
Aplitec did just that with Moneyline, a microlending operation. "It was our only acquisition and provided an ideal hands-on research and development test bed," says Belamant.
Refinements such as fingerprint recognition followed and opened doors to Aplitec's appointment as a primary service provider in SA's welfare and pension payment market. "Aplitec now distributes R1,4bn/month to 2,2m people in five SA provinces. This should grow to about 3m by year-end," says Belamant.
Moneyline, now renamed Net1 Finance Holdings, has also provided a model for the microlending industry. "We have 90 000 customers and are able to charge interest rates one-third of those of the average microlender."
Technology has been Aplitec's foundation. But cash flow forms the building blocks. "We generate about R25m/month and finance all our operations from internal cash flow," says Belamant.
He says there is no shortage of opportunities for the company and one danger is "pushing things too fast". Human resources must keep pace.
Investors can expect much more from Aplitec in future. "This year will be a good one for us. Next year will be even better," predicts a credibly confident CEO.
