VANCOUVER, BRITISH COLUMBIA / ACCESSWIRE / April 11, 2014 / Gener8 Media Corp. (CSE: GNR) ("Gener8" or the "Company") is pleased to announce that its shareholders have voted to approve the partnership agreement with Tianjin Fu Feng Da Movie & Television Technology Investment and Development Co., Ltd. ("FFD") and all transactions contemplated thereunder. The transaction was approved at the Company's special meeting on April 10, 2014 by 100% of the common shares voted at the meeting and there were no dissents received by the Company. The transaction was previously announced by the Company on March 18, 2014 and November 4, 2013.
"We are thrilled our shareholders support this partnership that will take our 3D business to the next level," says Rory Armes, Gener8 CEO. "This is a good match because both companies share the same vision for 3D and growth of a post production business, within Hollywood and globally."
According to Ken Scott, Gener8 President, "We will continue to maintain a 40% interest in the 3D business and we will continue to manage the day-to-day operations of the company and grow the business alongside FFD."
The transaction is anticipated to close on or before April 30, 2014, subject to completion of a number of closing conditions including receipt of all required regulatory approvals. The proceeds from the transaction are expected to be used for working capital and to build the Company's other two business units--Cumul8 and Reelhouse.
Cumul8 is a cloud-based enterprise and software-as-a-service (SaaS) data management and analytics solution that provides real-time data access. Cumul8's value proposition is predicated on an ability to visualize data in an effective and user-friendly manner at any level of the organization. While initial sales efforts are focused on the film and entertainment sector, prospective customers in manufacturing and other industry sectors have expressed considerable interest.
Reelhouse is a direct-to-consumer film platform in the highly disruptive entertainment distribution space. The traditional film distribution model and industry are undergoing a radical shift and Reelhouse is positioned as a studio-agnostic industry leader. Reelhouse allows filmmakers and major studios to customize, merchandise, and showcase engaging digital viewing experiences of their content. Reelhouse partners include Sundance Film Festival, Warner Bros., and a myriad of independent film producers.
The Company also announces completion of the amalgamation of a wholly owned subsidiary of the Company with Gener8 Investments Ltd. ("GIL") pursuant to the terms of the amalgamation agreement previously announced by the Company on November 21, 2013. Under the terms of the agreement 5,689,271 shares of GIL were exchanged for Gener8 shares on a one-for-one basis, and the 5,689,271 otherwise held by GIL in Gener8 will be cancelled. There was no change in the number of Gener8 shares issued and outstanding as a result of this transaction.
Gener8 Media Corp. is a media technology company led by a team of gaming industry veterans. At the forefront of postproduction, the Company earned its stripes by developing a proprietary 3D conversion technology, garnering high-profile credits including "300: Rise of a Empire," "The Amazing Spider-Man," "Prometheus" and "Harry Potter." Gener8 has since expanded into offering visual effects services and a cloud-based data management and analytics solution called Cumul8. With its focus on developing disruptive solutions that combine design and technology, Gener8 funded and then acquired a majority interest in Reelhouse Media Ltd., an online entertainment distribution start-up. Gener8's head office is located in Vancouver, British Columbia and currently has over 200 employees. Visit the company website at www.gener8.com.
Reelhouse is an open video-sharing platform dedicated specifically for quality entertainment content. The platform offers a comprehensive toolset for filmmakers to distribute and market their content while providing a far more engaging experience for their viewers. The toolset includes various monetization, customization and social tools to help filmmakers build their fan base. Reelhouse is a vibrant community and as a destination site also embeds a range of features specifically for viewers to facilitate discovery, ease of access, sharing and curation. Visit the company website at www.reelhouse.org.
Cumul8 is a cloud-based SaaS data management and analytics solution that gives filmmakers real-time insights and control over their productions. Cumul8 harnesses the power of cloud computing to control data flow between the various teams that work together in tandem on a film in post-production. The solution empowers workers and decision-makers at all levels of production with a set of customized reporting tools and controls, providing the ability to see where a film project is in the postproduction cycle at any given time. Visit the company website at www.cumul8.com.
ON BEHALF OF THE BOARD OF THE COMPANY
Chief Executive Officer and Director
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Forward Looking Statements
Except for statements of historical fact, this news release contains certain forward-looking statements within the meaning of applicable securities law. Forward-looking statements are frequently characterized by words such as "plan", "expect", "project", "intend", "believe", "anticipate", "estimate" and other similar words, or statements that certain events or conditions "may" occur. In particular, forward-looking statements in this press release include, but are not limited to, statements with respect to: the use of net proceeds from the transaction and the statements respecting the terms and closing of the transaction. Although Gener8 believes that the expectations reflected in the forward-looking statements are reasonable; there can be no assurance that such expectations will prove to be correct. Such forward-looking statements are subject to risks and uncertainties that may cause actual results, performance or developments to differ materially from those contained in the statements including, without limitation, risks with respect to: closing the definitive agreements respecting the transaction with FFD, obtaining all regulatory and third party consents, meeting our contractual timelines and milestones on our 3D film conversion contracts; general economic conditions in Canada and globally; film industry conditions; competition for, among other things, capital and skilled personnel; changes in economic and market conditions that could lead to reduced spending on 3D film conversion; potential delays or changes in plans with respect to deployment of services or capital expenditures; our ability to hire and retain qualified employees and key management personnel; possibility that government policies or laws may change; amount and timing of operating costs and capital expenditures; the success of certain business combinations engaged in by the Company or by its competitors; possible disruptive effects of organizational or personnel changes; technological change, new products and standards; risks related to acquisitions and international expansion; reliance on large customers; reliance on a limited number of suppliers; risks related to the Company's competition; the Company's failure to adequately protect its intellectual property; interruption or failure of information technology systems; the risk that the transaction may not be completed as planned, or at all; and business, legal and/or regulatory risks relating to Gener8's business, financings and strategic acquisitions. Except as required under applicable securities legislation, the Company undertakes no obligation to publicly update or revise forward-looking information, whether as a result of new information, future events or otherwise.