EMERYVILLE, CA -- 09/30/08 --
NetSol Technologies Inc. "NetSol" (NASDAQ: NTWK) (DIFX: NTWK), a worldwide provider of global business services and
enterprise application solutions, today announced that on September 26,
2008, the Company received simultaneously a notice of deficiency and a
notice of compliance from NASDAQ. The combined notice arose out of the
transaction dated July 23, 2008. NetSol currently stands in full compliance
with NASDAQ regulations.
On July 23, 2008, the Company entered into an agreement with investors to
issue convertible notes with a principal value of $6.0 million and a
conversion rate of $3.00 per share, subject to adjustment as a result of
the anti-dilution provisions of the agreement. Certain provisions of the
agreements with investors, such as the anti-dilution protection and ability
of the Company to pay interest in shares of common stock, created the
remote possibility that the Company would issue greater than twenty percent
of the issued and outstanding shares of the company at a below market price
(based upon the number of shares outstanding at the time of entering into
the agreement), in violation of Marketplace Rule 4350(i)(1)(D).
NetSol Technologies states that at no time when entering into the
agreements did the Company or investors intend to issue shares in violation
of Rule 4350(i)(1)(D), the agreement was amended immediately to remedy the
unintentional consequences. The amendments remedied any deficiency and the
Company is in full compliance of NASDAQ listing requirements. The
conversion prices of the notes remain at $3.00 per share.
About NetSol Technologies Inc.
NetSol Technologies (NASDAQ: NTWK) (DIFX: NTWK) is a worldwide provider of
global business services and enterprise application solutions. NetSol uses
its BestShoringTM practices and highly experienced resources in analysis,
development, quality assurance, and implementation to deliver high-quality,
cost-effective solutions. Organized into specialized practices, these
product and services offerings include portfolio management systems for the
financial services industry, consulting, custom development, systems
integration, and technical services for the global Healthcare, Insurance,
Real Estate, and Technology markets. NetSol's commitment to quality is
demonstrated by its achievement of the ISO 9001, ISO 279001, and SEI
(Software Engineering Institute) CMMI (Capability Maturity Model) Level 5
assessments, a distinction shared by fewer than 100 companies worldwide.
NetSol Technologies' clients include Fortune 500 manufacturers, global
automakers, financial institutions, technology providers, and governmental
agencies. Headquartered in Calabasas, California, NetSol Technologies has
operations and offices in London, San Francisco, Sydney, Beijing, Bangkok,
and Lahore.
To learn more about NetSol Technologies Inc., visit www.netsoltech.com
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Forward-Looking Statements
This press release may contain forward-looking statements relating to the
development of the Company's products and services and future operation
results, including statements regarding the Company that are subject to
certain risks and uncertainties that could cause actual results to differ
materially from those projected. The words "believe," "expect,"
"anticipate," "intend," variations of such words, and similar expressions,
identify forward-looking statements, but their absence does not mean that
the statement is not forward-looking. These statements are not guarantees
of future performance and are subject to certain risks, uncertainties and
assumptions that are difficult to predict. Factors that could affect the
Company's actual results include the progress and costs of the development
of products and services and the timing of the market acceptance.
Contacts:
NetSol Technologies, Inc.
Tina Gilger
Chief Financial Officer
Tel: +1 818-222-9195, x112
Investor Relations
Christopher Chu
Grayling Global
Tel: +1-646-284-9426
Email: cchu@hfgcg.com
