FFAX news
Nanoworld Enters Joint Venture
NEW YORK, Jan 30, 2001 (BUSINESS WIRE) -- In a joint release by Nanoworld
Projects Corporation (OTCBB: NAPH) and Frefax (OTCBB:FFAX), these companies
announced the execution of an agreement in principle targeted towards the
development and exploitation of NAPH intellectual property.
The agreement struck between the parties as summarized below is subject to
formalization as to terms, and subject to approval by Nanoworld Project
Corporation shareholders.
In conjunction with the agreement in principle, and in consideration of its
execution by Nanoworld, Frefax has committed itself to providing Nanoworld with
an immediate loan of $500,000 on a three month term secured against the assets
of the company, in order that Nanoworld may address its immediate financial
needs, and continue developmental work.
The agreement provides that Frefax will commit itself to providing Nanoworld
Projects Corporation will all funds necessary to satisfy existing obligations to
Centro Richerche Fiat associated with the collaboration agreement struck with
CRF on September 12th, 2000, as well as the payments required to be made to Oom
Labs in furtherance of the company's research collaboration with this entity,
and the cash costs component of Nanoworld Projects commitment to acquire
Euroinks s.r.l.
In consideration of this funding, Nanoworld Projects would agree to provide
Frefax with 85% of all profits accruing to Nanoworld from the exploitation of
such property which may result from the company's collaboration with CRF, as
well as 85% of all income accruing to the company from Euroinks s.r.l, once
acquired as a subsidiary, and 85% of all profit accruing to Nanoworld from the
exploitation of any product that may result from its research collaboration with
Oomlabs.
In addition to the 15% reserved for the benefit of Nanoworld Projects, the
company will retain ownership of its technology, and any technology which may be
developed pursuant to its collaborations, and 100% of any profits which may
result from activities not mentioned above.
"In effect, the proposal we are making to our shareholders is that Frefax
provide the financing necessary to realize the promise of our technology in
exchange for a significant benefit once that promise is realized" said Robert
Papalia, C.E.O. of Nanoworld "on the other side of the coin, Nanoworld projects
is relieved of a significant financial burden, is free to pursue other
opportunities, and retains an interest in the commercial exploitation in keeping
with the value of its yet undeveloped property. The adequacy of that interest
will of course have to be considered and evaluated by our shareholders."
About Nanoworld Projects:
Nanoworld Projects is pioneering the industrialisation of a revolutionary new
field of molecular-level building materials. The company expects its
nanotechnology applications to facilitate great technological strides in many
disciplines, including health, chemistry, electricity, and optics.
Nanotechnology has the potential to improve industrial processes, from the
creation of computer storage devices with greater data capacities, to highly
effective anti-friction coatings for metals.
Note:
Statements in this release which are not historical facts are forward-looking
statements. Actual future results may differ materially. The risks,
uncertainties, and other factors that could influence actual results are
described in the company's annual and periodic reports filed with the US
Securities and Exchange Commission. This Press Release contains forward-looking
statements and safe harbor statements as defined by the Private Securities
Litigation Reform Act of 1995, other than historical facts, which reflect the
view of Company's management with respect to future events. Such forward-looking
statements are based on assumptions made by and information currently available
to the Company's management. Although management believes that the expectations
reflected in such forward-looking statements are reasonable, it can give no
assurance that such expectations will prove to have been correct. Important
factors that could cause actual results to differ materially from such
expectations include, without limitation, the ability of the Company i) to
generate levels of revenue and adequate cash flows from its operations to
support and maintain its current cost structure and ii) to develop and deliver
products that are competitive, accepted by its markets and are not rendered
obsolete by changing technology. The forward-looking statements contained herein
reflect the current views of the Company's management with respect to future
events and are subject to these factors and other risks, uncertainties and
assumptions relating to the operations, results of operations and financial
position of the Company. The Company assumes no obligation to update the
forward-looking statements or to update the reasons actual results could differ
from those contemplated by such forward-looking statements.
CONTACT: Renmark Financial Communications, Montreal
Henri Perron or Jerome Cliche
Tel.: 514/939-3989
Fax: 514/939-3717
hperron@renmarkfinancial.com
jcliche@renmarkfinancial.com
www.renmarkfinancial.com
or
C.E.O. Cast Inc., New York
Adrian Salomon
Tel: 212/732-4300
Fax: 212/732-1131
asalomon@ceocast.com
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INDUSTRY KEYWORD: CHEMICALS/PLASTICS
COMPUTERS/ELECTRONICS
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