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DGAP-Adhoc: FortuneCity.com Inc.: Announces Extension of Hosting Agreement and Repurchase of Strategic Investor Shares Leser des Artikels: 55 FortuneCity.com Inc. / Capital Reorganisation/Share Buyback 31.07.2007 Release of an Ad hoc announcement according to § 15 WpHG, transmitted by DGAP - a company of EquityStory AG.The issuer is solely responsible for the content of this announcement.--------------------------------------------------------------------------- FortuneCity.com Inc. Announces Extension of Hosting Agreement andRepurchase of Strategic Investor Shares New York, USA, July 31, 2006: FortuneCity.com Inc. (´FortuneCity´)announced today that it had extended its hosting marketing agreement withHostopia, Inc., and has agreed to repurchase shares the Company sold to newInvestors in the May 2006. FortuneCity agreed to extend its marketing and brand licensing agreementfor hosting services with Hostopia for another two years. As part of theextension agreement, Hostopia paid the Company $361,000, the outstandingbalance due to FortuneCity from the January 2006 sale of its hostingcustomer base. Under the terms of the marketing arrangement, FortuneCitywill continue to promote and market Hostopia´s award winning hosting, emailand ecommerce services under the FortuneCity Hosting brand name. On May 22, 2006, FortuneCity entered into a strategic investment agreementwith a group of Strategic Investors led by James Pearson and Peter Hopperraising $605,000. The objective of the agreement was to provide theCompany with additional liquidity and seek business acquisitions that wouldbuild value for the Company´s shareholders. As part of the agreement, theInvestors were granted warrants at US $0.15 cents exercisable within tenyears, subject to the new investors actively working, identifying andsuccessfully negotiating an acquisition acceptable to the Board ofDirectors. In the event that certain activity measurements were not metwithin the first 18 months following this agreement, the Company and theInvestors could end the relationship by way of a series of Put and CallAgreements. Over the course of the last year, it became apparent that the strategicplan originally contemplated by the Company and Investors was unlikely tobe realized and that the shares and warrants issued to the new investorswere an impediment to the Company making a meaningful acquisition thus theCompany agreed to repurchase 2,692,436 shares for US $0.15, representing66.7% of the originally purchased shares, along with the cancellation of8,144,892 warrants (83.3% of original grant). The stock lock up agreementthat included the Investors along with Jay Metcalfe, Peter Macnee and DanMetcalfe has been terminated and Mr. Pearson and Mr. Hopper will resignfrom the FortuneCity.com Inc. Board of Directors. In addition, JayMetcalfe has provided the Company a $200,000 credit facility. The Company is pleased to announce that Daniel Metcalfe and Peter Langkildewill join the Board with immediate effect. Jay Metcalfe will remain asChairman of the Board and Peter Macnee will remain as President and ChiefExecutive Officer, and Director. Dan Metcalfe co-founded FortuneCity in 1997 and will rejoin the Board ofDirectors with a broad understanding and knowledge of the Internetindustry. Dan´s vision and passion was instrumental in the earlydevelopment of FortuneCity´s web properties and its growth to become the11th most visited web property on the planet by early 2000. Peter Langkilde is an international entrepreneur and investor focused onthe Telecom sector. In his career he has held senior executive roles inBellSouth, TDC, Millicom and Leap Wireless International winning mobilelicenses and developing mobile operators internationally. Mr. Langkildewas the CEO for a $1 billion infrastructure rollout and commercial start upof 10 mobile companies in Russia where he served as Chairman of several ofthe joint venture operations. Mr. Langkilde was the Founder and Chairmanof End2End, a global mobile data infrastructure provider, which receivedfirst round funding of $125 million and serves all the largest mobileoperators in the world. End2End was sold to Mach (owned by the privateequity firm Warburg Pincus) where he now serves on the Board. He is alsoChairman of Friendi the pan Middle East MVNO. Peter Macnee stated that ´We believe that the renewal of the agreement withHostopia and the recent unwinding of our agreement with the StrategicInvestors provides us with greater flexibility to move forward in thefuture. FortuneCity continues to see solid growth from its photo servicesbusiness I look forward to working with the new Board members to advancethe business.´ Contact:Contact:Peter MacneePresident & CEOinvestor-relations@corp.fortunecity.com+1-212-981-8624 DGAP 31.07.2007 --------------------------------------------------------------------------- Language: EnglishIssuer: FortuneCity.com Inc. 322 8th Avenue, Suite 701 New York, NY 10001 Vereinigte Staaten von AmerikaPhone: +1 212 981-8600Fax: +1 212 981-8125E-mail: investor-relations@corp.fortunecity.comInternet: www.fortunecity.comISIN: US34969P1021WKN: 919383Indices: Listed: Geregelter Markt in Frankfurt (General Standard); Freiverkehr in Hannover, Düsseldorf, Stuttgart End of News DGAP News-Service --------------------------------------------------------------------------- Autor: EquityStory AG © EquityStory AG |
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| aus der Diskussion: | Fortunecity vor dem Comeback? |
| Autor (Datum des Eintrages): | Hats (31.07.07 23:31:53) |
| Beitrag: | 5,114 von 5,256 (ID:30960106) |
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