Thought I would give you press release of csn purchase of 20% interest in wiztec to give you idea of the spun off entity. Also, if there is a third division I continue to hope its name is wiztec.
Herzlia, Israel -- August 20, 1997 -- Wiztec Solutions Ltd. (NASDAQ: WIZTF), a leading provider of subscriber management systems for multi-channel subscription television, today reported that Wiztec and CBIS, a subsidiary of Cincinnati Bell Inc. (NYSE: CSN) and a major US player in the wireless, wireline, cable, and satellite billing markets, have reached a worldwide marketing agreement for Wiztec's WIZARD product including certain exclusive marketing rights in North America, while at the same time allowing Wiztec's US subsidiary (formerly BSI) to continue addressing its traditional markets.
CBIS has also agreed to purchase nearly 20 percent of the Company's shares together with a two-year option to buy a controlling interest in Wiztec. A total of 1.3 million Wiztec shares is being sold by the Company and certain individual shareholders at $8.50 each. Should CBIS exercise its option any time during the two-year period, the share price will be calculated according to a market price-based formula at the time of exercise.
The parties further agreed to jointly fund and develop a next generation customer care and billing system for the cable, broadband and satellite markets.
"We are extremely pleased to enter into a strategic alliance with a partner the caliber of CBIS," Wiztec President & CEO Yaron Polak declared. "These agreements extend the marketing reach for our proven, feature-rich WIZARD system and strengthen our ability to continue to meet our customers' rapidly changing requirements. This new relationship combines the strengths of Wiztec's international success and technological expertise with CBIS's prominent position in the telecommunications and broadband market in North America."
Adds Mr. Polak: "Their respect for the technological leadership of our WIZARD product, and their confidence in the future of our market is gratifying."
"This new alliance will help us strengthen our presence in the DBS and international broadband marketplaces by capitalizing on the many strengths and synergies between our companies," said Robert J. Marino, President and CEO of CBIS. "We have taken this step in order to bring our customers a broad range of robust solutions based on integrated technologies to support the wave of market and service convergence."
The agreements between CBIS and Wiztec are subject to approval by Wiztec shareholders and certain regulatory clearances. Mr. Polak said the transactions are expected to close in early October.
About CBIS
CBIS is the global leader in the provision and management of customer care and billing solutions for the communications industry. These solutions perform mission-critical activities for CBIS's clients, enabling them to compete and differentiate themselves more effectively in the broad range of wireless, wireline, cable TV, Internet and emerging communications services. CBIS is a subsidiary of Cincinnati Bell Inc. (NYSE: CSN), a $1.6 billion corporation which supplies telecommunications, information management, and marketing services. Other subsidiaries include Cincinnati Bell Telephone, a major independent telephone company, and MATRIXX Marketing, the world's largest provider of telephone marketing services. CBIS's web address is cbis.com |
