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Friday January 7, 12:46 pm Eastern Time
Company Press Release
MDU Communications International Inc. To Acquire
Cirrinet Communications Inc.
RICHMOND, British Columbia--(BUSINESS WIRE)--Jan. 7, 2000-- (OTC BB:MDTV - news)
MDU Communications International Inc. (MDTV) has entered into a Letter of Intent to acquire all of the outstanding shares ofCirrinet Communications Inc. A definitive acquisition agreement is expected to be completed by February 15th, 2000 and is subject to the completion of due diligence and shareholder and regulatory approval.
``This acquisition allows us to accelerate the deployment of high speed broadband Internet access into the 500 plus MDTV
properties, representing 45,000 plus potential subscribers waiting for Internet service,' says Sheldon Nelson, chairman of MDU Communications International, Inc. Cirrinet Communications is a unique provider of high-speed broadband Internet access and Web services to the multiple dwelling unit and hospitality market. Users are connected at speeds up to 350 times faster than a traditional 28K dial-up connection. Cirrinet utilizes new or existing wiring to deliver an affordable, dedicated connection to the Internet, while allowing simultaneous telephone access. Building owners get a cost-effective Internet solution that avoids costly infrastructure build-outs while enhancing property values.
Mr. Nelson said, ``the demand for broadband Internet services is skyrocketing across North America and recent advances with Cirrinet and their strategic partners' technology, allow for quick deployment without massive reconstruction.' Mr. Nelson added, ``it is MDTV's goal to become a complete provider of digital satellite television, high speed Internet, local and long distance telephone and in suite security services to the North American multiple dwelling unit marketplace, and this acquisition is an important step in bundling these services for our customers.
MDU Communications Inc, a wholly owned subsidiary of MDU Communications International Inc. (MDTV), is the National
Master System Operator for Star Choice Television, one of only two licensed providers of direct to home satellite broadcasting services in Canada. MDTV is one of the first to market and fastest growing providers of digital satellite television to the multi-dwelling unit market place in North America. The MDU market has over 30 million homes in North America alone. Since September 1998, MDTV has realized explosive growth from 1,000 to 14,000 subscribers and has over 300 buildings with signed letters of intent or access agreements, which could increase the subscriber base to over 50,000 in the next 12-18
months.
The Company's filings, including current financial reports, can be accessed through the EDGAR database at www.sec.gov. For additional information please see www.mduc.com or contact Investor Relations.
On behalf of the Board MDU Communications
``Sheldon Nelson' Sheldon Nelson Chief Executive Officer
Corporate Headquarters 108 - 11951 Hammersmith Way Richmond, BC, Canada, V7A 5H9 www.mduc.com
Investor Relations: Tel: (604) 277-8152
(800) 794-9076 Fax: (604) 277-8301 Investor@mduc.com
``Safe Harbor' statement under the Private Securities Litigation Reform Act of 1995: This release contains forward looking
statements that are subject to risks and uncertainties, including, but not limited to, the impact of competitive products and
pricing, product demand and market acceptance, new product development, reliance on key strategic alliances, the regulatory
environment, fluctuations in operating results and other risks detailed from time to time in the Company's filings with the
Securities and Exchange Commission.
MDTV:OTC:BB CUSIP: 582 828 109 mduc.com
Contact:
Investor Relations:
Tel: 604/277-8152
800/794-9076
Fax: 604/277-8301
E-mail: Investor@mduc.com |
