CWK:TSX.V
VANCOUVER, Jan. 4 /CNW/ - (TSX.V: CWK) Cinema Internet Networks Inc. ("CinemaWorks") has signed an agreement, subject to regulatory approval, to acquire 51% of 3One Systems US Inc. ("3One Systems") for US$500,000 cash and 2,000,000 shares of the Company's common stock. 3One Systems is the U.S. Master Distributor of 3One Network's commercial in-building Broadband over Powerline access systems (BPL Access Systems). 3One Networks' BPL technology has won the Geneva International Invention Award and is currently in use by over 100,000 customers worldwide.
Headquartered in Seattle, WA, 3One Systems US has satellite offices in eight states with local installation and support capabilities across the entire US through its reseller partner network. Also in place is a robust operations and logistics infrastructure including 24/7 call center support for customers and installers. With 3One Systems recent successful deployments of 3One's next generation BPL Access Systems into numerous large high-rises in the US, the company is poised for full scale penetration into the U.S. and international markets.
"This acquisition is a rare opportunity for CinemaWorks and its shareholders. We think that 3One has a world-leading viable, secure, cost-effective and technically sound commercial BPL solution. Nothing less is required to serve a huge emerging market that includes timeshares, condominiums, apartments, hotels and other multi-unit structures," commented Bill Massey, CEO of CinemaWorks.
Massey continued, "Successful commercial BPL deployment requires that three crucial criteria be met: 1) seamless, fast and uncomplicated installation requiring very little assistance by a licensed electrician; 2) BPL modems with true broadband capability to deliver the triple play of VoIP, email/browsing, and IPTV; and 3) very competitive cost for equipment within the marketplace. 3One meets these criteria with flying colours."
Aaron Young, CEO of 3One Systems noted "CinemaWorks is the ideal company to fulfill our public market strategy because of its longevity and current positioning within the broadband market. CinemaWorks brings experienced personnel and access to capital markets, which is essential for 3One Systems to execute its rapid growth strategy."
About 3One Systems US, Inc.
3One Systems US is a complete provider of in-building Internet network distribution systems and related services. Headquartered in Seattle Washington, 3One Systems is the Master Distributor of 3One Networks' international leading Broadband over Powerline (BPL) Access products to the U.S. marketplace. BPL Access is the breakthrough low-cost technology that delivers broadband Internet and data to each room of a commercial multiunit building - directly through the existing power outlets.
3One Systems also supplies cost effective DSL, Cable, and Wireless Systems as an alternative or combined means to distribute Internet access within commercial buildings of all sizes. Once an IP Network has been deployed, 3One can provide telephone and local onsite support services, custom branded ISP services, and supply additional broadband based products such as wireless access points, VoIP phones and CCTV security cameras.
For the residential consumer market, 3One also provides 200Mbps HomePlug AV BPL Modems that create an instant high-speed data network throughout the entire home for simultaneous Internet, VoIP, IPTV, gaming and other multimedia applications.
About CWK:
Since 2000, Vancouver-based Cinema Internet Networks Inc. (d.b.a. CinemaWorks) has provided broadband Internet services to the North American hospitality industry. CinemaWorks' current focus is the sales and support of world leading commercial-grade broadband over powerline (BPL) technology from 3One Networks Inc. The 3One commercial grade technology has the capacity to reliably and cost-effectively deliver the triple play of VoIP, email/browsing and IPTV to customers in large commercial buildings.
ON BEHALF OF THE BOARD OF DIRECTORS
"WILLIAM MASSEY"
President
THE TSX VENTURE EXCHANGE DOES NOT ACCEPT RESPONSIBILITY FOR THE ADEQUACY
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