Public Media Works, Inc., www.publicmediaworks.com – the technologically-forward leader in entertainment which also distributes demographically relevant digital media via subsidiary, EntertainmentXpress (using a self-service kiosk architecture), disclosed details about the signing of a Letter of Intent to acquire Ventures, Inc., DBA VideomaticCanada, today.
Consistent with ongoing PUBM due diligence, the companies anticipate an all-stock transaction within six to eight weeks.
Current growth rate projections indicate that VideomaticCanada is well on its way to achieving the goal, set by management, of becoming Canada’s largest DVD kiosk network in 2010. VideomaticCanada is currently Canada’s second largest DVD and videogame kiosk network, with 92 kiosks projected to be in the field by this August.
Beginning in 2006, VideomaticCanada began installing 24/7 availability, self-service DVD kiosks, and is rolling out innovative new features to stay on top of the kiosk market, including downloadable content for mobile devices, online searchable database, and a kiosk-specific customer retention program.
CEO of PUBM, Garrett Cecchini, praised the outstanding kiosk technologies VideomaticCanada has cooked up by characterizing them as “years ahead” of anything he has seen in the entire industry.
Mr. Cecchini emphasized that, by combining infrastructures – PUBM’s channel sales partners and content acquisition prowess with VideomaticCanada’s established operational profile – they would be able to “asymmetrically dominate specific territories and markets”.
CEO of VideomaticCanada, Jeremy Ostrowski, hailed the deal as perfect, pointing out that becoming part of PUBM will immediately open up vast avenues for expansion throughout Canada.
Mr. Ostrowski cited VideomaticCanada’s mastery of the kiosk market space as dovetailing nicely with PUBM’s directive, resulting in a combined product offering which is clearly differentiated from competitors and able to push out globally with its business model.
The parties have agreed that Ostrowski will receive a seat on the board and become a member of senior management at PUBM. The deal is pending a definitive acquisition agreement subsequent to the customary auditing of VideomaticCanada.