bmks gapping on news b/a 1.08 1.10
LAWRENCEVILLE, Ga., Mar 7, 2000 /PRNewswire via COMTEX/ --
Brandmakers, Inc. (OTC Bulletin Board: BMKS) has purchased Great
Britain's third largest coin pusher manufacturing company, K.W.
Machines. Additionally, Crown Leisure, the largest distributor of
amusement games in the United Kingdom, has contracted to be
Brandmakers' primary U.K. distributor. Brandmakers' CEO, Geoff
Williams, and President & COO, Hank Cleare finalized the deal last week
in the U.K. This acquisition and alliance will position Brandmakers'
games and vending division, Gamosity, as a key player in the worldwide
market of coin-operated entertainment development and distribution.
Brandmakers' (http://www.brandmakers.com) original core business has
been games and vending manufacturing and distribution since 1993. K.W.
Machines, Ltd., founded in 1981, has engaged in the business of
manufacturing, selling and servicing of coin-operated amusement games;
refurbishing used machines for distribution; and selling machine parts.
The acquisition includes K.W.'s assets, intellectual property,
machinery, products currently in development, machine orders valued at
$504,000 and it's U.K. facility. The operation will remain in Ramsgate,
U.K., continuing daily operations, headed by Engineer and Managing
Director, Colin Kirby. K.W. will be a wholly owned subsidiary of
Brandmakers and will be renamed K.W. Leisure, Ltd.
Colin Kirby, K.W. Managing Director, said, "The growth opportunity for
K.W. is phenomenal. Our product line will be represented in the U.S.
for the first time accelerating our presence in our market
exponentially. I personally look forward to working with Gamosity and
Crown Leisure to strengthen our global exposure."
Brandmakers also reached an agreement with Crown Leisure,
(http://www.crownleisure.co.uk/) a private company, and number one
distributor of games, as well as the fourth largest operator of arcades
and amusement parks in the U.K., to sell K.W. machines in the European
market. In 1998, Crown Leisure as a public company, had total revenues
of approximately $62.4 million with total company assets of $44.8
million. Crown currently owns and operates over 15,000 games in arcades
and amusement parks. States Crown Managing Director, Dennis Roden,
"This acquisition by Brandmakers is a tremendous boost for K.W. and the
leisure industry. Crown Leisure is proud and delighted to accept the
European Distribution rights for K.W. products. We will work tirelessly
to ensure that K.W. increases its already significant foothold in the
European Leisure sector. On a personal note, the opportunity to work
with Geoff again, on his exciting plans for the U.S., is further
incentive to make the new alliance a resounding success."
Williams received a phone call from Colin Kirby of K.W., notifying him
of a competitor exploring the idea of acquiring K.W. Recognizing that
the loss of Brandmakers recent exclusive rights and selling agreement
in the U.S., could prove devastating to the Gamosity division, Williams
with Cleare left immediately for England. Due to William's long
standing industry relationships, and an impressive long-term plan for
Gamosity, K.W. turned down a significantly higher bid from the number
one coin pusher game manufacturer and distributor worldwide. Week-long
negotiations with K.W. were finalized with a purchase price of $640,000
(USD) making Brandmakers successful in its bid against its largest
competitor in the leisure industry.
Brandmakers' ability to respond quickly and act decisively secured
Gamosity's place in the market. Williams says, "Brandmakers will not
sit back when our company and shareholders are threatened. We will not
be diverted from our goal for this division or any other. We are
leaders in our industries and we intend to do what is necessary to
ensure short and long-term growth for the company."
Williams added, "This acquisition of K.W. was critical to our strategy
and security for the future. Gamosity now holds key patents and will be
able to accommodate worldwide delivery of entertainment products as
well as further the development of K.W.'s products and technology. This
purchase finalizes the first steps in our U.S. and U.K. marketing
strategies."
K.W. Machines, Ltd. product line has already received overwhelming
reviews from The International Casino Exhibition at Earl's Court in
London and the Amusement U.K. show in Blackpool this year. Kirby was
extremely pleased with floor orders from both shows, as it is the
beginning of the season, and will continue to coordinate sales in the
U.K. Williams will be handling U.S. sales with plans to debut the
entire line of products at the Amusement Showcase International in Las
Vegas, Nevada, March 29-31, 2000. The premier games to be showcased are
the Diamond, an 8-player coin pusher, and the Magic Touch, a 6-player
or single-player machine. Adds Williams, "These two games represent
$504,000 in orders for K.W. validating their popularity in the U.K.
Gamosity intends to bring that entertainment to the States and double
that number. We are excited about the pushers and our entire product
line. We believe this acquisition and addition of new products reflect
our new direction and goals for this division."
Brandmakers, Inc., (OTC Bulletin Board: BMKS) is a diversified Georgia
based corporation consisting of four technology-based divisions with a
focus on games and vending, Internet development, wireless
communications and New Media.
This news release contains statements that are not historical and are
forward looking. Investors are cautioned that all forward-looking
statements involve risks and uncertainties including, without
limitation, risks related to market acceptance of and demand for the
Company's products and services by customers, continued relationships
with and pricing dependence for third party suppliers, and continuity
of existing government regulations and policies.
SOURCE Brandmakers, Inc.
(C) 2000 PR Newswire. All rights reserved.
prnewswire.com
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CONTACT: Terry Tomasello of Brandmakers, 800-253-5257, or
info@brandmakers.com
WEB PAGE: brandmakers.com
GEOGRAPHY: Georgia
INDUSTRY CODE: MAC
SUBJECT CODE: TNM
OTC
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