MXNT >>> HOT NEWS TODAY >>> EXCITING DEAL ANNOUNCEMENT
(BSNS WIRE)
Maxnet and Planet Entertainment Complete Joint Venture and Create MaxPlanet
Radio, Corp.
Business Editors/Hi-Tech Writers
FREEHOLD, N.J.--(BUSINESS WIRE)--April 14, 1999--Maxnet, Inc.
(OTC BB:MXNT) and Planet Entertainment, Corp. (OTC BB:PNEC) announced
today that MaxPlanet Radio, Corp. will be the title of the Joint
Venture between MXNT and PNEC.
MXNT and PNEC will now have the capabilities and resources to
directly compete with Navarre Corporation's (Nasdaq: NAVR) NetRadio,
which also offers originally programmed audio content over the
Internet.
MaxPlanet Radio, Corp. (MPR, Corp.) is currently a fifty-percent
(50%) owned subsidiary of Maxnet, Inc. - MXNT and a fifty-percent
(50%) owned subsidiary of Planet Entertainment, Corp. - PNEC (the
"Parents"). The terms of the Joint Venture call for the parent
companies of MaxPlanet Radio, Corp. to own and operate The MaxPlanet
Radio Network, an audio/video content provider on the Internet for the
listening and viewing of music, video, interactive CD ROM's, and
computer software. Furthermore, MPR, Corp. plans to expand its growing
MP3 and MP4 music database in order to provide its Users with the
opportunity to download and listen to quality music products over the
Internet.
MaxPlanet Radio, Corp. plans to operate through 4 divisions, its
Internet Radio/Jukebox Division, its Advertisement/Shows Division, its
MP3 & MP4 downloads/ New Artists Division, and its CD Compilation
Division. MPR, Corp. will be seeking its initial advertising revenues
from Retail Stores and Record Labels (Major & Independent).
Wallace Giakas, Chairman of Planet Entertainment stated: "The
Joint Venture with MXNT involving MaxPlanet Radio, now gives our
Company an additional edge over our competition. By giving our
wholesale customers a low-cost medium to advertise their retail stores
over the Internet. MaxPlanet Radio will offer similar promotions that
commercial - radio now offers to enhance in-store traffic to our
wholesale customer base. Additionally, WWW.PlanetEntertainment.com,
PNEC's Internet site, is currently moving over to a Business to
Business format to better support our retailers. Furthermore, PNEC and
MXNT share the ideal that today's Internet services are no longer
regarded as an extra feature, but rather a part of our 'full service
mission' to our customers and Users."
The new entity will combine MXNT's MaxPlanet-Radio (MPR)
technologies with Planet Entertainment's proprietary music catalog of
15,000 titles. In addition, Planet Entertainment's wholesale division,
Northeast One Stop, gives the new entity access to a selection of over
130,000 music, video and DVD titles. This creates the ability to
become one of the largest and most advanced Internet radio stations
that will offer digital downloading directly from Planet
Entertainment's catalog of proprietary music and as a platform to
showcase new artists. Customers will be able to create their own CDs,
listen to music 24 hours a day and order the music they are listening
to. Since its launch 30 days ago, MXNT's MaxPlanet-Radio has realized
over 400,000 page views and is expected to realize over 1,000,000 page
views in the next 30 days in conjunction with this agreement.
About Planet Entertainment:
Planet Entertainment owns 15,000 proprietary music titles,
ranging from rock to classical, and on March 1, released
50 proprietary compilation CD albums for sale internationally and
domestically. In addition, the Company recently acquired its own
wholesale/distribution center and is also selling entertainment
product directly off its e-commerce site, www.planetentertainment.com,
making it one of the only sites that facilitates its own product
fulfillment. In fiscal 1998, ended August 31, 1998, the Company
reported over $35 million in revenue. The Company reported first
quarter revenue of $14.9 million and had a net income of $469,000, or
$0.04 per share.
Planet Entertainment is a diversified entertainment company
specializing in music production, wholesale distribution and marketing
of front-line recorded music, video and DVD titles as well as its
proprietary CD compilation albums. The Company, which operates a
wholesale distribution facility, two wholly owned recording studios
and four record labels is also engaged in the acquisition,
enhancement, licensing and re-release of music from their extensive
library of over 15,000 original musical master recordings as well as
the production of new artist albums. In order to enhance distribution,
the Company recently acquired Northeast One Stop, Inc. (NEOS), a
privately held wholesale distribution facility of recorded music,
video and DVD products based in Latham, N.Y. NEOS has inventory of
130,000 front-line titles and last year was named Medium Wholesaler of
the Year by the National Association of Record Manufacturers (NARM).
The Company plans to operate NEOS for centralized order fulfillment as
well as to market and sell its compilation CDs either directly to
retailers or indirectly over the Internet on its business to business
website, www.planetentertainment.com, which has recently become
affiliated with Amazon.com (Nasdaq:AMZN) and J. Crew as an Associate.
With over 150,000,000 users on the Internet today, MXNT and PNEC
are seeking to utilize and maximize the Internet's radio distribution
channels. MPR, Corp. will be attempting to assist the artist in
gaining back revenues, which may be lost in distribution through
alternative music distribution channels.
MaxPlanet Radio, Corp.'s approach will seek to provide the
Internet User and advertiser a custom platform where the potential
revenue production is open 24 hours a day, 7 days a week, 365 days a
year while also allowing the artist to realize a larger slice of the
Internet profit. Therefore, at MaxPlanet Radio, Corp. the User will
be able to quickly bond with the music and the advertiser while
building logs of songs to download and play on line.
Maxnet, Inc. is an integrated Internet Development Company
focused on creating and expanding strategic alliances for its
comprehensive network of consumer and business-oriented web services
with offices in New Jersey and Florida.
For further information on Maxnet, visit their websites:
maxplanet.com
maxplanet.com
maxplanet.com
maxplanet.com
mxnt.com
maxplanet.com
Maxnet, Inc., MXNT is currently changing its name to reflect its
new diversified Internet marketing business. Certain of the statements
included in this press release constitute forward-looking statements
within the meaning of Section 27A of the Securities Exchange Act of
1934, as amended. The Company notes that a variety of factors could
cause the Company's actual results and experience to differ materially
from those expressed in these forward-looking statements. This release
may contain forward-looking statements, made pursuant to the "safe
harbor" provisions of the Private Securities Litigation Reform Act of
1995, that involve risks and uncertainties, which might cause the
actual results to differ materially from those projected in any
forward-looking statements. Factors which could affect results include
the development and introduction of competitive technologies, the
market awareness and acceptance of the Maxnet technologies, the
overall market demand for internet services, the presence of
technologically inferior products and services which are priced or
promoted to compete with Maxnet services, the ability to attract and
retain technical personnel, and the ability of the Company to protect
its proprietary information.
--30--pp/mi*
CONTACT: Planet Entertainment Corporation, Middletown
Wallace M. Giakas, Chairman
732/530-8819
or
Maxnet, Inc., Freehold
I. Goldreich, Vice President
732/625-0770
or
The MWW Group, East Rutherford
Robert Ferris, Public Relations
201/507-9500
KEYWORD: NEW JERSEY
INDUSTRY KEYWORD: COMED COMPUTERS/ELECTRONICS TELECOMMUNICATIONS
INTERACTIVE/MULTIMEDIA/INTERNET ENTERTAINMENT MERGERS/ACQ
Today's News On The Net - Business Wire's full file on the Internet
with Hyperlinks to your home page.
URL: businesswire.com
|
