TORONTO, July 9 /CNW/ - SilverBirch Inc. (SVB: TSXV) announced today that it has settled definitive terms for the purchase of 100% of the issued and outstanding shares of Lighthouse Interactive Game Publishing B.V., a corporation incorporated under the laws of the Netherlands, a transaction originally announced on April 29, 2008. The final closing is anticipated to take place shortly following approval by the Toronto Stock Exchange Venture Exchange.
CFO, Paul Haber said, "This acquisition brings us up market into a higher margin, lower risk business that complements our current core development skill. Lighthouse will provide the experience and expertise to leverage our existing Intellectual Properties and build additional IP that will build greater value for shareholders."
The agreed purchase price will be $3,000,000, with up to a further $1,250,000 to be paid contingent upon agreed performance targets. The price comprises cash of $650,000 and 3,850,000 common shares, valued at $1,350,000, payable on closing. $400,000 will be paid in an unsecured note, payable over a three year term bearing interest at 10%. The $600,000 remaining portion of the purchase price is to be paid on or before November 30, 2008.
About Lighthouse Interactive
Lighthouse Interactive Game Publishing B.V. is a fast growing publisher of interactive entertainment with offices established in Toronto and Montreal, Canada, Haarlem, The Netherlands and London, England. The company is focused on bringing strong titles to the worldwide market in a wide array of genres including: RPG, Simulation, Adventure, Action and Strategy. Staffed with industry veterans, Lighthouse is the right choice for developers looking to bring their products to a worldwide audience. For more information visit: www.lighthouse-interactive.com
About SilverBirch Inc.
Toronto-based SilverBirch Inc. is a fully integrated developer, publisher and distributor of high quality interactive media content and, through its Jambo Mobile division, provides mobile marketing and direct-to-consumer mobile content. In addition, the company is a multi-platform video game developer and operates an MMORPG (massive multiplayer online role-playing game) game called Metin 2 (see www.metin2.us). For more information, please visit www.silverbirchstudios.com and www.jambomobile.com.
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Forward-Looking Statements - Certain information set forth in this news release, including management's assessment of future plans, contain forward-looking statements that involve substantial known and unknown risks and uncertainties. These forward-looking statements are subject to numerous risks and uncertainties, certain of which are beyond management's control, including the impact of general economic conditions, industry conditions, and currency fluctuations. Readers are cautioned that the assumptions used in the preparation of such information, although considered reasonable at the time of preparation, may prove to be imprecise and, as such, undue reliance should not be placed on forward-looking statements.
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