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Bergen, Norway, July 2, 2008, The Board of Vizrt Ltd. (Frankfurt Prime Standard, Oslo Main List: VIZ) has approved the Share Purchase Agreement to acquire all outstanding shares in Escenic AS.
The final terms & conditions are in line with those earlier announced under the Heads of Agreement, except that the initial consideration will be settled part in shares (3 million) and part in cash (NOK 90 million, approx USD 17.8 million). The Earn Out portion of the consideration remains as announced in the HoA.
"This is a perfect match", says Bjarne Berg, Vizrt's President and CEO. "Escenic is one of the frontrunners in on-line publishing. As all major news web sites use video and graphics in a gradually increasing manner, we expect the combined company will have a product offering that should be well received in a broader market than the two companies have been able to address on their own."
"We have already received positive signals from both Vizrt and Escenic customers", continues Berg. "In fact, Bergens Tidende and Adresseavisen, two Norwegian regional newspapers that are long standing Escenic customers, have already signed substantial contracts for the new products."
The first integrated products will be ready for the market by IBC in the middle of September this year.
The transaction is expected to be closed within a month. SEB Enskilda has acted as Vizrt's financial advisor on the transaction. The transaction does not require a prospectus.
Media and investors contacts: Bjarne Berg President & CEO Vizrt Ltd. +47 9055 7711 bberg@vizrt.com
Ofra Brown CFO Vizrt Ltd. +47 5351 8040 ofra@vizrt.com
Knut I Skeid CEO Escenic AS +47 9222 0352 knut.skeid@escenic.com
Tore Sviland Chairman Escenic AS +47 9018 3489 tore.sviland@escenic.com
Frank Schwarz SCHWARZ Financial Communication +49 611 1745 398 11 Schwarz@schwarzfinancial.com
About Vizrt:
Vizrt creates leading-edge content production tools for the digital media industry - from award-winning 3D graphics & maps to integrated video workflow solutions.
We propose a new vision for content creation and delivery with an end-to-end solution from conception to multi-format distribution. Through constant innovation and a good measure of fun, we create software and services that push creative boundaries and develop new ways of telling stories. Vizrt's product suite is used by the world's leading broadcasters including: CNN, CBS, Fox, BBC, Sky, ITN, ZDF, Star TV, Network 18, TV Today, CCTV and NHK. Also, many world-class production houses and corporate institutions, including both the New York and London Stock Exchanges, utilize Vizrt solutions.
Vizrt is a public company traded on the Frankfurt Prime Standard and on the Oslo Main List: VIZ, ISIN: IL0010838154.
Safe Harbor Regarding Forward Looking Statements This press release contains forward-looking statements with respect to the business, financial condition and results of operations of Vizrt and its affiliates. These statements are based on the current expectations or beliefs of Vizrt's management and are subject to a number of risks and uncertainties that could cause actual results or performance of the Company to differ materially from those contemplated in such forward-looking statements. These risks and uncertainties relate to changes in technology and market requirements, the company's concentration on one industry, decline in demand for the company's products and those of its affiliates, inability to timely develop and introduce new technologies, products and applications, and loss of market share and pressure on pricing resulting from competition, which could cause the actual results or performance of the company to differ materially from those contemplated in such forward-looking statements. Vizrt undertakes no obligation to publicly release any revisions to these forward-looking statements to reflect events or circumstances after the date hereof or to reflect the occurrence of unanticipated events.
