VNE ANNOUNCES ANOTHER SIGNIFICANT E-COMMERCE AGREEMENT
Bulletin # MAR99-08
AT AGORA WE ONLY HAVE ONE SPEED DIAL. GET ON IT
Good morning to you all. Please find enclosed yet another significant E-Commerce agreement signed by Valu-net (VNE.ASE). Currently, The AGORA Portfolio holds VNE positions at $1.00, 1.10, 1.25 and 2.15.
agoracorp.com
Valu-net has been the subject of much media coverage since announcing the E-Merge Alliance with partners that include Citibank. The Globe and Mail called Valu-net "one of Canada's most promising e-commerce companies'" in an industry overview last summer. This latest agreement only serves as further indication that VNE continues to build the fundamentals necessary to become a meaningful e-commerce participant. We are especially encouraged by the following excerpt:
"The initial stage of the program will establish 500 merchant stores online. This number is expected to grow by an additional 1,200 stores every three months until reaching a level of at least 5,000 stores by the end of the first year. Merchants are expected to take advantage of Valu-net's recently announced program offerings, as well as international revenue sharing and fee for service electronic commerce solutions. The parties will also provide complete technical, marketing and electronic commerce solutions for medium and large size organizations. It is expected that testing will begin in the next 90 days and based on full system integration, revenue is expected to begin within 120 days."
For your convenience, we have included the full press release below. We continue to remain extremely confident in the future of this company and its performance within The AGORA Portfolio.
Regards,
AGORA Internet Relations Corp.
agoracorp.com
For Immediate Release
VALU-NET AND GLOBENET SIGN GLOBAL ELECTRONIC COMMERCE AGREEMENT
Markham, Ontario - March 16, 1999. Valu-net Corporation (ASE:VNE) today announced the signing of an electronic commerce agreement with GlobeNet Communications Limited ("GlobeNet"), a wholly owned subsidiary of GlobeNet Communications Group Limited (BSX: GLOCOM). The companies will collaborate to provide electronic transaction capabilities and Internet marketing to merchant websites via the Internet using the international facilities-based network of GlobeNet and its affiliates.
The agreement capitalizes on Valu-net's ability to deliver Internet marketing and electronic commerce services, and GlobeNet's Bermuda-based network facilities and provisioning capabilities.
"Our companies intend to give merchants the best of both worlds secure electronic commerce expertise, coupled with the most technologically advanced network infrastructure available," said Mr. David Lucatch, President and CEO of Valu-net Corporation. "We believe this agreement gives global merchants an unbeatable Internet electronic commerce solution."
"The GlobeNet Network allows merchants to access complete Internet marketing services, while providing a stable, offshore operating environment utilizing state of the art network infrastructure," added Mr. Michael Kedar, Chairman and CEO of GlobeNet Communications Group Limited.
The foundation for this agreement between Valu-net and GlobeNet is the understanding that Valu-net will provide merchants with electronic commerce services including:
* merchant sales and marketing;
* "cybermall" maintenance and enhancement;
* secure transaction processing using Valu-net's proprietary CPAC credit card encryption technology; and,
* complete website hosting and maintenance services.
The initial stage of the program will establish 500 merchant stores online. This number is expected to grow by an additional 1,200 stores every three months until reaching a level of at least 5,000 stores by the end of the first year. Merchants are expected to take advantage of Valu-net's recently announced program offerings, as well as international revenue sharing and fee for service electronic commerce solutions. The parties will also provide complete technical, marketing and electronic commerce solutions for medium and large size organizations. It is expected that testing will begin in the next 90 days and based on full system integration, revenue is expected to begin within 120 days.
GlobeNet will provide the network capacity, server maintenance, and secure colocation facilities at its Network Operating Centre in St.David's, Bermuda. GlobeNet's affiliate, TeleBermuda International Limited, operates the BUS-1 fiber optic submarine cable system connecting Bermuda and the U.S. The company is currently developing the Atlantica network which, in its first phase to be completed by December 2000, will comprise approximately 15,000 kilometers of fiber optic cable, with five landing points in four countries, Bermuda, Brazil, Venezuela and the U.S. This advanced network with 1.28 terabits/sec design capacity has the ability to accommodate international business needs well into the 21st century.
About GlobeNet
GlobeNet, through its affiliate, TeleBermuda Interational Limited, has been providing a full range of international telecommunications services in Bermuda since April, 1997. It now carries over a third of all traffic generated in Bermuda and is rapidly establishing the necessary infrastructure to position the Island as a premiere offshore location for supporting the explosive growth of Internet and e-commerce services.
About Valu-net
Valu-net Corporation, a publicly traded corporation on the Alberta Stock Exchange, (symbol "VNE") is a leading marketing and technology company providing a complete range of services designed to meet the growing demand for Internet marketing and electronic commerce. Valu-net has established relationships with leading Internet Service Providers and Consumer marketing companies to develop online Consumer and Business applications. Valu-net is also a founding member of The eMerge Alliance (www.emergealliance.org), offering businesses a cost effective, end to end Electronic Commerce Solution. Further information is available through Valu-net's corporate web site at www.vncorp.com
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The Alberta Stock Exchange has neither approved nor disapproved the information herein contained.
Valu-net Media Contact:
Brad Friesen
GENERATORIDEAWORKS'
(416) 413-7570
brad.friesen@generator.ca
GlobeNet Media Contact:
Scott Socol, EVP & COO
GlobeNet Communications Group Ltd.
(905) 470-0583
scott.socol@telebermuda.com
Investors are cautioned that all forward-looking statements contained in this press release involve risk and uncertainties, including without limitation risks associated with intellectual property rights and litigation, risks in technology development and commercialization, risks associated with government initiatives and regulations, risks in product development and market acceptance of and demand for the Company's products, risks of downturns in economic conditions generally and risks associated with competition and competitive pricing pressures and other risks described in the Company's filings with the Ontario Securities Commission. Actual results may differ materially from those anticipated in such statements.
For Valu-net Investor Relations contact:
Gary Perkins
Phone (905) 889-1711
Toll Free 1-800-225-2744
Fax: (905) 889 - 2511
E-mail - investrelations@vncorp.com
For GlobeNet Investor Relations contact:
Jeffrey G. Conyers
First Bermuda Securities
Phone: (441) 295-1330
Fax: (441) 292-9471
DISCLOSURE STATEMENT
AGORA INTERNET RELATIONS CORP. receives a monthly monetary fee from Valu-net Corporation. for the purposes of communicating with Internet shareholders - both current and prospective - to increase awareness of and interest in Valu-net Corporation. AGORA INTERNET RELATIONS CORP activities are aimed purely at keeping their clients' shareholders and prospective shareholders informed about their company. These activities consist of providing investors with previously disclosed factual information concerning the company, comments from company principals, copies of material that has been filed with regulatory authorities, comments prepared by registered brokers or investment dealers and material published in newspapers, magazines or journals.
AGORA INTERNET RELATIONS CORP does not participate in the maintenance of an orderly market in their client's securities, nor is required, or receives an incentive for, the maintenance or achievement of a price or trading volume for their client's securities at a certain level, for a specified period of time or by a certain date. AGORA INTERNET RELATIONS CORP. may, at any time, own shares in the company. |
