Media Central Enters Into Agreement With Creator News

TORONTO, June 18, 2021 (GLOBE NEWSWIRE) -- Media Central Corporation Inc. (CSE: FLYY, FSE: 3AT) ("Media Central" or the "Company"), a publicly held holding company of media assets that trades on the Canadian Securities Exchange, today announced as an update further to its news release of February 4, 2021, that as part of the Company’s 2021 strategic growth plan has entered into an agreement with Creator News Inc. (“Creator News”).

Creator News has developed a software platform (the “Platform”) to act as a global aggregator of the best arts, culture and entertainment content. The new digital platform will focus on media consumers interested in subjects like Arts, Culture, Film, Music, Books, Technology, Real Estate and Food & Drink. The Company and Creator News entered into an agreement (the “Agreement”) dated June 18, 2021 whereby the Company’s holdings including The Georgia Straight, NOW Magazine, CannCentral.com and eCentralSports.com will license its content to the Platform.

The Company had previously proposed to develop Creator News as a wholly-owned subsidiary, along with Creator Stack, Inc. (together with Creator News, the “Creator Companies”) which would also provide a digital products that complement the Company’s existing product and service offerings. However, given the Company’s limited resources, it was subsequently determined that it would be more advantageous for shareholders of the Company if the Creator Companies were developed and fully funded by third parties, and for Media Central to then license use of the respective platforms and content. The Company entered into discussions with certain of its shareholders in this regard, pursuant to which it was agreed that such shareholders would fund the cost of development of the Creator Companies and their respective digital platforms, following which (i) the Company would enter into license agreements for the use of such platforms; and (ii) the Company would be granted a 25% equity interest in each of the Creator Companies for no additional consideration (the “External Development Proposal”). The Company formed an independent special committee to consider and make recommendations with respect to the External Development Proposal, and the committee, after consideration, recommended approval by the board of directors.