PAYNOVA (NGM) DELIVERS PAYMENT SOLUTION TO INTERNATIONAL ECOMMERCE GIANT CD-WOW

Music and home entertainment corporation CD-WOW, which has used aggressive pricing to swiftly become a leading online marketplace, has chosen Paynova’s digital wallet for secure online payments.

CD-WOW provides low-price CDs, DVDs and computer games direct to customers all over the world, without middlemen. The company sells its products via local websites in the UK, Ireland, Hong Kong, Germany, the USA, Sweden, Norway, the Netherlands and Australia. In the UK CD-WOW is also available on interactive digital TV – a rapidly expanding online market.

“Music and home entertainment on the Internet is a fast-growing sector. CD-WOW is a door-opener for Paynova as the volumes are large and the partnership could act both as a bridgehead into new markets, and as an important reference for other companies in the home entertainment sector,” says a pleased Pelle Hjortblad, CEO of Paynova.

CD-WOW started in February 2000. The company has developed rapidly and sales in 2003/2004 are expected to reach SEK 1.4 billion. CD-WOW has managed to grow through a well-developed co-operation with successful local partners including Aftonbladet.se, Virgin.net, The Daily Telegraph, Guardian Unlimited, MSN and Kelkoo.

Online net.magazine recently voted CD-WOW the second best online store in the world, after winner Amazon.com.

For further information. please contact:

Pelle Hjortblad, CEO Paynova AB

Phone: +46 (0)8-517 100 07 Mobile: +46 (0)701-810 110

About Paynova

Paynova AB, listed on NGM Equity on 26 February 2004, is a company specialising in secure online payments. The Paynova Wallet is a digital wallet for digital transactions that can handle amounts from 5 pence and up. The digital wallet enables the customer to manage and control purchases limiting his/her personal credit card or eBanking information to only one counterpart. The Paynova Wallet is easy to acquire and use, and simple for the merchant to install. More than 20 000 banks worldwide accept the Paynova solution for VISA and MasterCard payments. Since its launch in 2001, Paynova AB has signed agreements with more than 500 companies and organisations that now offer the Paynova Wallet as a payment option on their websites. Pelle Hjortblad is the CEO of Paynova. The full Paynova share prospectus can be found at www.paynova.com