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Microcap & Penny Stocks : BHIT (online auction site) -- Ignore unavailable to you. Want to Upgrade?

To: Pete who wrote (9)	3/7/2000 4:39:00 AM
From: Pete	Read Replies (1) \| Respond to of 13

NEWS!!! ------------- NEW YORK (Dow Jones)--Bidhit.com Inc. (BHIT), an online auction Web site, has agreed to acquire EZBid Inc., a wholly owned online auction subsidiary of Systemax Inc. (SYX). In exchange, Systemax, a Port Washington, N.Y.-based direct marketer of computer hardware and software, will get a 30% stake in BidHit. BidHit.com, Bothell, Wash., said the two companies plan to announce the agreement officially on Tuesday. The combination will create one of the top-10 online-auction Web sites, BidHit.com said. Based on 1999 revenue figures, the two sites had combined annual gross sales of $5.8 million. "In addition to becoming an even more powerful force within the online auction segment, this acquisition adds a substantial amount of value and benefit to the company and its shareholders," said Tim Black, president and chief executive officer of BidHit.com, in a statement. Under a non-binding letter of intent, BidHit.com will issue 5,734,895 common shares, representing a 30% stake, in exchange for EZBid. Following the proposed transaction, Systemax expects to feature the BidHit.com icon on the desktop displays of personal computers it assembles. Systemax assembled more than 500,000 in 1999. If completed, the transaction would result in a material one-time gain being included in the earnings of Systemax, BidHit.com said. Systemax shares, which are listed on the New York Stock Exchange, changed hands late Monday at 8 5/16, down 5/16 or 3.6%. BidHit.com is traded in the over-the-counter bulletin board market. Its shares traded late Monday at 5 3/8, up 3/32.