MUL for the first time ever will bve profitable this quarter.
Following the closure of the deal with ANZ.
Furthermore, it looks like they have funded thier Broadband Satellite Business.
read ann:
Additional Info.re: Transactions with ANZ & other matters
MULTIEMEDIA LIMITED 2002-10-01 ASX-SIGNAL-G
HOMEX - Melbourne
+++++++++++++++++++++++++ Earlier today the company advised of its receipt of a temporary waiver from the ANZ Bank regarding settlement transactions in relation to a loan with ANZ.
In order to keep the market fully informed of developments in this matter the company is pleased to advise that it has secured investors to satisfy a condition precedent to settlement, whereby 35,486,827 ANZ shares will be purchased at a price of 1 cent each.
The company also advises it will pay $600,000 to ANZ to extinguish the $3 million loan. Settlement will occur this month, and the company will be debt free save for trading creditors.
The investors Clinton and Dr Matthew Starr are very successful businessmen in their own rights.
Clinton has a long and distinguished history in Funds Management and International Marketing, having worked for AXA/National Mutual Funds Management for 27 years in Executive Management positions worldwide, prior to retirement. Clinton is currently a Management Consultant, a Director of the Australian Wheat Board - AWB (International) Limited, and a Director of a number of private companies.
Matthew has a comprehensive background in Banking, Financial Services, and computer hardware and software sales. Over the past 22 years Matthew has held various senior management positions with National Mutual Royal Bank, ANZ Bank, Stratus Computer, EMC Corporation, Computer Associates and co-founder of Switchcorp Pty Ltd - an electronic payment processing bureau with specialist skills in EFTPOS.
The Starr's have also made application for approximately 86 million shares in Multiemedia which will make them the company's largest shareholders when added to their ANZ purchase.
Recently Multiemedia advised of the formation of a subsidiary to conductits Broadband Satellite business. Following discussions with several Asian based funds, the Board is confident of substantial investment shortly.
It is also Multimedia's intention to form a subsidiary with the Starr's to launch Switchcorp in order to take advantage of the recent relaxation of Reserve Bank rules.
Switchcorp will act as a value-added service provider and aggregator between a merchant (or group of merchants) and an acquiring bank that clears the transactions.
Switchcorp's business is to create and maintain sophisticated EFTPOS solutions that have major appeal to new and existing EFTPOS merchants, while lowering the cost of transaction processing for the merchant.
The Directors believe that introduction of new investors, and the addition of Switchcorp will create significant benefits for Multiemedia's future. Additionally, the ANZ transaction will have a positive impact on profitability for the current quarter and will render the company debt free.
Mr Adrian Ballintine, Chief Executive Officer & Group Managing Director on (03) 9603 3200, or by email at [email protected]
MUL Price at posting:
0.0¢ Sentiment: None Disclosure: Not Held