Tobin attempts to flee->ZiaSun Finalizes the Venture Fund Agreement With The McKenna Group AndAnticipates Selling Its Subsidiary MII
SOLANA BEACH, Calif., Aug. 2 /PRNewswire/ -- ZiaSun Technologies Inc. (OTC Bulletin Board: ZSUN) (www.ziasun.com), a diversified Internet-based holding company, today announced it has finalized the Agreement with The McKenna Group to create MKZ, a new venture fund, which is structured to make highly selective investments in early-stage, primarily business-to-business (B2B) Internet technology companies. The Company also announced it is negotiating the sale of its subsidiary, Momentum Internet Incorporated (MII), back to the original owners, Vulcan Consultants Inc.
In the sale of MII back to Vulcan Consultants, Vulcan will exchange 725,000 shares of ZiaSun stock, which Vulcan currently holds, for total ownership of MII. Consummation of this sale is contingent on finalization of mutually agreeable terms and conditions for both parties, and is currently expected to be completed by mid August.
In completing the sale of MII, ZiaSun would no longer have an interest in the following subsidiaries of MII: Momentum Associates Ltd, Momentum Internet (Phils.) Inc., AsiaEnet Ltd., Graphia International, Swiftrade Inc., or the following websites of MII: "Momentum Internet" (www.momentumplus.com), "PinMail" (www.pinmail.com), "MediaHits" (www.mediahits.com), "Swiftrade" (www.swiftrade.com), "Working Mouse" (www.workingmouse.com), "AsiaEnet" (www.asiaenet.com), "TigerTooth" (www.tigertooth.com), "TigerHits" (www.tigerhits.com), "Search Dragon" (www.searchdragon.com), "M-Finance" (www.mfinance.com) and "Ming Stores" (www.mingstores.com).
Allen D. Hardman, President and CEO of ZiaSun stated, "We believe the sale of MII will prove quite positive for ZiaSun as MII has not met earnings expectations. Whereas, the Venture Fund Agreement with The McKenna Group will provide ZiaSun with desirable, early equity positions in emerging, high-tech companies with market-leading technology. Additionally, management anticipates its investment in the newly-formed venture fund will provide favorable returns on investment, which should effectively bolster the Company's operating strategy."
Hardman further commented "This new strategic relationship with The McKenna Group is very significant for ZiaSun, and it is intended to help accelerate the Company's business growth by providing the Company access to global market opportunities to which it could not otherwise cost-effectively gain exposure on its own. Equally important, the Agreement gives ZiaSun early access to Class-A start-up opportunities working jointly with other seasoned venture investors, who have many years of demonstrated successes. Management believes this is an exciting major step forward in fulfilling ZiaSun's vision to become a world-class business incubation and holding company with unlimited growth opportunity, and one which is intended to provide a positive future impact on shareholders' equity."
Geoff Mott, the Managing Partner of The McKenna Group observed that "ZiaSun has successfully built businesses with compelling value propositions in several areas of the 'Internet' economy. Our venture accelerator works with technology-oriented start-ups that are building business infrastructure and services for this new economy. We believe the relationship with ZiaSun will yield a series of business initiatives that leverage our complementary skills and ZiaSun's existing success model to outstanding effect."
About ZiaSun Technologies, Inc.
ZiaSun Technologies, Inc. is a leading Internet technology holding company focused on international investor education and e-commerce. It specializes in online support services within North America, Asia and other international markets. The Company's portfolio *currently includes: Online Investors Advantage (www.i-advantage.com), Momentum Asia, Inc. (www.momentumasia.com), ServiceLive (www.servicelive.com), Momentum Internet, Inc. (www.momentumplus.com), PINmail (www.pinmail.com), MEDIAhits (www.mediahits.com), Swiftrade (www.swiftrade.com), AsiaEnet Ltd. (www.asiaenet.com), Tigertooth (www.tigertooth.com), Search Dragon (www.searchdragon.com), M Finance (www.mfinance.com -- a top-100 financial Web site), and a 19 percent equity position in Asia4Sale (www.asia4sale.com).
*NOTE: It is anticipated that certain holdings are going to be sold back to Vulcan as set forth in paragraph three of this Press Release.
Safe Harbor statement under the Private Securities Litigation Reform Act of 1995: Except for historical information, the matters discussed in this news release that my be considered forward-looking statements could be subject to certain risks and uncertainties that could cause the actual results to differ materially from those projected. These include uncertainties in the market, competition, legal, success of marketing efforts and other risks detailed from time to time in the company's SEC reports. The company assumes no obligation to update the information in this release.
Contact: Michelle Cutting, Shareholder Services of ZiaSun Technologies Inc., 858-350-4060, mcutting@pinmail.com.
SOURCE ZiaSun Technologies Inc.
CO: ZiaSun Technologies Inc.; Momentum Internet Incorporated; McKenna Group; Vulcan Consultants Inc.
ST: California
IN: MLM
SU: TNM
08/02/2000 08:02 EDT prnewswire.com |
