BEIJING, July 14 /PRNewswire-Asia/ -- Yucheng Technologies Limited (Nasdaq: YTEC), a leading provider of IT solutions to China's banking industry, today announced that it intends to concentrate on developing its Software & Solutions business and has sold its 49% holding in Elegon Infotech, Ltd.
The overall China's banking industry is expected to continue double-digit IT spending growth for the next several years, with the majority of IT spending growth coming from small to medium-sized banks (SMBs). To capture this market, solutions need to be tailored to SMBs' unique requirements in terms of scope and sophistication, while recognizing the future scalability requirements as SMBs enhance their competitive position against the Top Four banks. As a leading total solution provider with the most comprehensive solution offerings for banks in China, Yucheng is well positioned to further expand its market share.
Mr. Weidong Hong, CEO of Yucheng Technologies stated, "In the past, Yucheng has been overextended and unable to allocate the resources necessary to promote each of our growth initiatives. By refocusing on our core competency in Software & Solution for the banking industry, we have a clear mandate from which to drive our business and financial growth."
Yucheng sold its 49% equity stake in Elegon Infotech, Ltd. to its joint venture partner, 3i Infotech, Ltd. Yucheng will continue to work with 3i Infotech to explore new cooperation opportunities in the banking industry.
About Yucheng Technologies Limited
Yucheng Technologies Limited (NASDAQ: YTEC) is a leading IT service provider to the Chinese banking industry. Headquartered in Beijing, China, Yucheng has approximately 2,000 employees and has established an extensive network for serving its banking clients nationwide, with subsidiaries and representative offices in 23 cities. Yucheng provides a comprehensive suite of IT solutions and services to Chinese banks including: (i) Channel Solutions, such as web banking and call centers; (ii) Business Solutions, such as core banking systems, foreign exchange and treasury management; and (iii) Management Solutions, such as risk analytics and business intelligence. Yucheng is also a leading third-party provider of POS merchant acquiring services in partnership with banks in China.
For Further Information
Rebecca Alexander
Tel: +1-914-613-3648
+86-10-5913-7998
Email: ralexander@yuchengtech.com
Safe Harbor Statement
This press release includes forward-looking statements made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995 that involve risks and uncertainties. Forward-looking statements are statements that are not historical facts. Forward-looking statements generally can be identified by the use of forward-looking terminology, such as "may," "will," "expect," "intend," "estimate," "anticipate," "believe," "project" or "continue" or the negative thereof or other similar words. Such forward-looking statements, based upon the current beliefs and expectations of Yucheng's management, are subject to risks and uncertainties, which could cause actual results to differ from the forward looking statements. The following factors, among others, could cause actual results to differ from those set forth in the forward-looking statements: current dependence on the PRC banking industry demand for the products and services of Yucheng; competition from other service providers in the PRC and international consulting firms; the ability to update and expand product and service offerings; retention and hiring of qualified employees; protection of intellectual property; creating and maintaining quality product offerings; operating a business in the PRC with its changing economic and regulatory environment; and the other relevant risks detailed in Yucheng filings with the Securities and Exchange Commission. The information set forth herein should be read in light of such risks. Yucheng assumes no obligation to update the information contained in this press release.
