nFinanSe Inc. Raises $10.7 Million in Private Securities Sale and Closes on $15.5 Million Credit Line

Business Wire, June 12, 2008

TAMPA, Fla. -- nFinanSe Inc. (OTCBB:NFSE), today announced that the Company raised $10.7 million through the issuance of 1,417,500 shares of its common stock, 3,937,500 shares of its Series C Convertible Preferred Stock and warrants to purchase 2,677,500 shares of its common stock. This amount includes the exchange of approximately 1,120,000 shares of common stock and 560,000 warrants purchased in March 2008 and May 2008 for $2.8 million, or $2.50 per share. Each share of the Series C Convertible Preferred Stock is convertible into one share of the Company's common stock. Both the Series C Convertible Preferred Stock and the common stock were sold at the purchase price of $2.00 per share. The warrants entitle holders to purchase shares of common stock at an exercise price of $2.30 per share.

In addition, the Company has closed on its previously announced $15.5 million accounts receivable line of credit with certain institutional investors and shareholders of the Company, including Ballyshannon Partners, LP, an affiliate of one of its directors. This line of credit will be used solely to support the Company's Reloadable Prepaid Cards and Gift Cards at retail store locations. Since the Company's cards are "instant issue," this accounts receivable line will allow the Company to fund the balances on its retail cards from the moment they are sold to cardholders even though the actual funds have not yet been routed from the retailer through the distributors to nFinanSe.

Jerry R. Welch, Chairman and Chief Executive Officer, said, "The prepaid card industry is a rapidly growing and very dynamic sector of the U.S. economy. This financing, which will provide the Company with over $26 million of capital, enhances our financial condition, strengthens our balance sheet and helps position us to aggressively pursue market share in the prepaid card marketplace."

Collins Stewart LLC and Emerging Growth Equities, Ltd. acted as placement agents on both the equity and the line of credit.

About nFinanSe Inc.

nFinanSe Inc. is an innovative financial services company and provider of stored value and prepaid card solutions headquartered in Tampa, Florida. nFinanSe has developed the nFinanSe Network, a secure, reliable value load and activation platform that connects with retail merchants and other value load stations located throughout the United States.

"Safe Harbor" Statement under Private Securities Litigation Reform Act of 1995

This press release contains certain forward-looking statements based on nFinanSe Inc.'s, or, the Company's current expectations, forecasts and assumptions that involve risks and uncertainties. Forward-looking statements include statements regarding the Company's expectations, beliefs, intentions or strategies regarding the future and can be identified by forward-looking words such as "anticipate," "believe," "could," "estimate," "expect," "intend," "may," "should," "will," and "would" or similar words and include statements regarding the anticipated timing and benefits to the Company of the credit facility and the anticipated retail roll out of the Company's products. Forward-looking statements in this release are based on information available to the Company as of the date hereof. The Company's actual results may differ materially from those stated or implied in such forward-looking statements due to risks and uncertainties associated with the Company's business, which include the Company's ability to execute its business strategy and the other risk factors disclosed in the Annual Report on Form 10-KSB for the year ended December 29, 2007 on file with the Securities and Exchange Commission. The Company assumes no obligation to update the information included in this press release, whether as a result of new information, future events or otherwise.