TORONTO, CANADA, December 2, 2008- Intertainment Media Inc. (“Intertainment” or the “Company”) (TSXV:INT) announced today that it has completed $525,000 of a proposed $900,000 CDN brokered private placement offering (the “Offering”), representing the first tranche of the Offering. The Company has received $500,000 CDN in subscriptions from a strategic investment by Toronto based Proximity Interactive Networks Inc. (“Proximity”). The strategic funds are due to be released on December 4th. The Company already has strong interest for the balance of the Offering.
The capital raised will be used to further the completion of Itibiti System’s voice powered social networking platform, for strategic growth opportunities and for general corporate purposes. The Company may choose to issue fewer units than the maximum proposed under the Offering.
“As the Company prepares for the launch of its Voice Powered Social Networking programs it will continue to look at strategic partnerships and long term financing opportunities. Proximity Interactive Networks and their PinSpot Bluetooth technology will allow users of Itibiti to be able to access the advertising supported social and telecommunications network, free of charge, at any PinSpot location,” said Mr. David Lucatch, CEO of Intertainment Media Inc.
“We are excited about the strategic and collaborative opportunities presented by this investment.” said Simi Grosman, Chief Marketing Officer of Proximity Interactive Networks (PIN). “As a leading provider of targeted mobile services to mobile devices through our PinSpot network, there is an excellent synergy between our two companies.” “Through the Pinspot network, Intertainment’s Itibiti Systems platform can now extend its social and telecommunications services from the desktop to mobile devices seamlessly, bringing added value to marketers and consumers alike,” Mr. Grosman added.
The $900,000 Offering consists of units of the Company (“Units”) with each Unit comprised of one (1) common share at a price of $0.05 CDN and (1) common share purchase warrant with an exercise price of $0.12, valid for two (2) years from the time of closing. The Offering is led by Toronto based D&D Securities Company. The Company will pay eligible parties 8% commission in cash and provide an option to purchase up to 8% of the Units sold at $0.05 per Unit for a period of 18 months from the date of completion of the Offering.
Following completion of the first tranche of the Offering, the Company will have 71,009,668 common shares issued and outstanding. Proximity will hold 10,000,000 common shares of the Company (representing 14.1% of the issued and outstanding) and warrants to purchase10,000,000 common shares. Assuming exercise of the warrants Proximity will hold 20,000,000 common shares (representing 24.7% of the issued and outstanding). The warrant certificates contain a feature requiring the Company to seek applicable regulatory approval prior to granting the exercise of warrants that would allow a warrant holder to control greater than 20% of the issued and outstanding common shares of the Company.
About Intertainment’s Itibiti Systems
Intertainment’s Itibiti Systems platform is a proprietary, social networking, multimedia and communications environment that can be installed directly on a user’s computer desktop. The Itibiti platforms provides clients with custom branding, loyalty and revenue opportunities allowing them to extend their “Brand Experience” to the user’s desktop. Key features of the Itibiti include IP Telephony, video/multimedia on demand, instant messaging, SMS, integrated in a feature rich interface that includes a mini web browser, desktop telephone and chat system which can be utilized to create active links to the affinity partners web pages, providing information and outside services and a complete advertising and marketing platform for revenue generation. For a full demonstration of the Itibiti platform, please visit www.intertainmentmedia.com/itibiti/p...
About Intertainment
Intertainment Media Inc. (www.intertainmentmedia.com) is a conventional and new media company with an experienced and innovative team of professionals focused on delivering leading edge technology and marketing solutions.
Intertainment develops and invests in strategic programs that enable clients to increase their branding and loyalty relationships with their consumers while focusing on increased revenue generation.
Intertainment owns, operates and invests in high value content, traffic management, advertising and social networking solutions including, Eye Rock Digital (www.eyerockdigital.com) No Good TV (www.ngtv.com), Trooker Inc. (www.trooker.com), and Itibiti Systems (www.intertainmentmedia.com/itibiti/p... ).
Intertainment Media Inc. is headquartered in Richmond Hill, Ontario, Canada. The company is listed on the Toronto Venture Exchange (symbol: INT).
Corporate Inquiries:
David Lucatch, CEO
905-763-3510
Investor Communications:
Buchalter Consulting
1-866-631-6537
Stan.Buchalter@BuchalterConsulting.ca
Online Investor Relations Hub:
AGORACOM
INT@Agoracom.com
www.agoracom.com/IR/intertainment
About Proximity Interactive Networks
Proximity Interactive Networks (PIN) is a national network infrastructure provider that delivers relevant content and communications to mobile handsets through its PinSpot brand. Utilizing increasingly popular technologies including Bluetooth and WiFi which are now available in virtually every mobile device, PIN is a national targeted mobile services provider including mobile content, mobile advertising (static and video) SMS, VoIP, email, and other data.
Proximity Interactive Networks was founded in 2006 and is headquartered in Toronto Canada.
For more information please visit www.pinspot.ca
Company Inquiries:
Simi Grosman, CMO
416.822.7262
