TSIG.com and GeneralSearch.Com Reach Definitive Agreement
ST. PETERSBURG, Fla.--(BUSINESS WIRE)--June 7, 2000--TeleServices Internet Group Inc. (OTCBB:TSIG - news), known as TSIG.com, today announced that it has entered into a definitive letter of agreement to acquire GeneralSearch.Com, an Internet portal and search engine company that is debt-free and has more than $5 million of cash in the bank. TSIG.com believes this purchase signifies a historic development in the Internet world by combining a vast marketing network with a leading-edge search engine and portal, giving the combined companies the potential to register millions of Internet users at the lowest customer acquisition cost in the industry.
In an article entitled ``The Zero-Cost Acquisition Model,'' written and located at www.otcinternetstocks.com, TSIG.com's model is described as ``drastically different than that of the traditional consumer acquisition strategy in that it has no top line consumer acquisition costs.'' The article goes on to explain that TSIG.com ``accomplishes this by partnering with extremely well branded (and respected) charities and corporations such as United Cerebral Palsy, Coca-Cola, Lufthansa and the Disney Corporation, just to name a few.'' By contrast, TSIG.com's portal and search engine competitors, such as Alta Vista, Lycos and Yahoo!, are reported to be spending hundreds of dollars to attract each customer to their Web sites.
The transaction will close after TSIG.com's 10-for-1 reverse split, which was previously approved by the company's shareholders. The transaction involves the merger of GeneralSearch.Com into a newly-formed subsidiary of TSIG.com, with 45 million post-split TSIG shares being issued to the current shareholders of GeneralSearch.Com. The companies decided to merge because they believe their union will generate synergies resulting in far greater value than each could separately attain. The closing is subject to and will take place after 1) the receipt of a fairness opinion, 2) an audit of the books and records of General Search.Com, 3) registration of the transaction on Form S-4 and 4) approval by the shareholders of GeneralSearch.Com.
GeneralSearch.Com is an Internet portal designed to enhance the individual's online experience and contains one of the most powerful and accurate search engines on the Internet, with access to a database of more than 100 million links. The search engine continues to improve and create filters that will eliminate virtually all adult-oriented content, while still providing the most accurate search results available on the Internet. GeneralSearch currently has more than 900 Internet-based affiliates, including Amazon.com, Land's End, Compaq and Travelocity. GeneralSearch offers free Internet access for life, free e-mail, fax, integrated messaging and other services.
``Today, TSIG.com officially becomes a full-fledged Internet company. The acquisition of GeneralSearch.Com gives us a latest generation search engine, as well as first-rate IT capabilities,'' observed Robert Gordon, chairman of TSIG.com. ``We will now be able to provide our partners with state-of-the-art Internet technology, and at the same time drive traffic to our own Internet portal and search engine. The fact that GeneralSearch.Com has devoted considerable resources to eliminating adult-content is very important to the kind of partners we are cultivating, such as UCP and other national charities, the nation's school systems, 4-H clubs, and corporations such as Lufthansa and Coca-Cola.''
Added David Venchus, President of GeneralSearch.Com, ``We have spent more than two years building a great team and a great product. We have been looking for the fastest and most economical way to get to market, and we found what we were looking for in TSIG.com's partnerships with major corporations and non-profits and their relationships with charities and schools. It was also important for us to become a public company, because our research told us that of the seventeen major search engines on the market today, only nine are publicly traded and all of these have market caps in excess of 1 billion dollars.''
About GeneralSearch.Com., Inc.
GeneralSearch.Com, Inc., is a private company that was formed in 1998 to enhance the individual's Internet experience. GeneralSearch.Com is an Internet portal with one of the most powerful and accurate search engines on the Internet, with access to a database of more than 100 million links. The search engine is family-oriented, with filters that eliminate virtually all adult-oriented content, while still providing the most accurate search results available on the Internet.
GeneralSearch also has more than 800 Internet-based affiliates, including Office Max, Stamps.com and other popular sites. GeneralSearch offers free Internet access for life, free e-mail, fax, integrated messaging and other services. GeneralSearch.Com is located in West Chicago, IL. The company can be reached by e-mail at info@generalsearch.com. The company's website is at www.generalsearch.com.
About TSIG.com
Headquartered in St. Petersburg, Florida, TeleServices Internet Group Inc., known as TSIG.com, has created its myCard programs to benefit both the corporate and non-profit communities, as well as consumers. TSIG.com forms myCard
partnership agreements with national corporations and non-profit organizations, and then works with those partners to design revenue-generating programs that attract consumers to their Web sites. The first myCard program was myMusicCard, which enables consumers to purchase CDs and cassettes at the lowest available prices. Similarly TSIG.com's myPhotoCard programs provide low-cost film processing and Kodak Film, and the myPhoneCard programs provide low-cost prepaid long-distance calling card services. For all new myCard users, TSIG.com has recently arranged through General Search.Com to provide free Internet access for life, free e-mail, fax, integrated messaging and other features.
These customized marketing programs are intended to provide recurring revenues to TSIG.com and its partners, and help develop strong brand loyalty and awareness within target communities. TSIG.com further enhances its myCard programs by providing customer service and support with its Web-based call center and related services. With non-profits, TSIG.com is engaged in ``cause-related marketing'' and has a ``volunteer sales force'' of millions generating sales and driving traffic to Internet sites for the lowest customer acquisition cost in the business. TSIG.com is the national marketing partner of UCP, the nation's largest non-profit health care organization and leader in the disability field, which each year serves over 1 million people with disabilities in the United States. TSIG.com's corporate web site is at www.tsig.com and the myMusicCard web site is at
www.mymusiccard.com.
This press release contains ``forward-looking statements'' within the meaning of Section 27A of the 1933 Securities Act and Section 21E of the 1934 Securities Exchange Act. Actual results could differ materially, as the result of (1) competition in the markets for the company's products and services, (2) the ability of the company to execute its plans, (3) the availability of financing at favorable terms, and (4) other factors noted in the company's public filings with the SEC.
Contact:
TSIG.com, St. Petersburg
Paul Henry, 727/897-4000
phenry@tsig.com |
