24/7 Real Media Agrees to Acquire Real Media Korea, a Leading Interactive Marketing Firm in South Korea.Business Editors NEW YORK--(BUSINESS WIRE)--Dec. 17, 2003 Acquisition Will Establish 24/7 Real Media as a Leading Provider of Internet Marketing See Internet advertising. Solutions in Asia 24/7 Real Media, Inc. (Nasdaq: TFSM), the only gateway to the total spectrum of interactive marketing and technology solutions for online marketers and publishers, today announced a definitive agreement to acquire privately held Real Media Korea Ltd. ("RMK RMK Remark (Weather METAR) RMK Rocky Mountain King (Polaris Snowmobiles) RMK Remarks RMK Resource Manager Kernel "). Real Media Korea, founded in 1998 and based in Seoul, Korea, is a leader in interactive marketing in the Republic of South Korea. RMK sells advertising on behalf of Web sites, representing many of the most heavily visited Web sites and working with most of the leading online advertisers in its marketplace. RMK also sells and supports 24/7 Real Media's Open AdSystem(TM) suite of Internet ad delivery, analytics, and management products. The acquisition gives 24/7 Real Media a leadership position in the South Korean marketplace as the first step in its expansion into Asia. With approximately 26.3 million Internet users, South Korea is one of the largest online populations in the Asia-Pacific region and in the world. Additionally, according to according to prep. 1. As stated or indicated by; on the authority of: according to historians. 2. In keeping with: according to instructions. 3. the International Telecommunication Union International Telecommunication Union (ITU), specialized agency of the United Nations, with headquarters at Geneva. It was created in 1934 as a result of the merging of the International Telegraph Union (est. , South Korea leads all nations worldwide in terms of broadband penetration, with 94% of all Internet subscribers having access to a fast connection. International Data Corp. recently projected that online advertising in the Asia-Pacific region will grow more than 400% by 2007, with South Korea one of the nations leading this increase. RMK earned an operating profit Operating profit (or loss) Revenue from a firm's regular activities less costs and expenses and before income deductions. operating profit See operating income. in each of the past two years and is expected to generate approximately $11 million in revenue and approximately $1.0 million in operating profit for 2003 on a U.S. GAAP GAAP See: Generally Accepted Accounting Principles GAAP See generally accepted accounting principles (GAAP). basis. Pursuant to the agreement, 24/7 Real Media has agreed to acquire the 91.3% of the outstanding shares of RMK it does not already own for approximately $5 million in cash and approximately 10.7 million shares of 24/7 Real Media, Inc. common stock, valued at approximately $16 million. The acquisition is expected to be immediately accretive to 24/7 Real Media's earnings. "We have worked closely with Jae Woo Chung and his team for several years as they developed RMK into the leading interactive business in South Korea," said David J David J. Haskins (b. April 24, 1957, in Northampton, England) is a British alternative rock musician. He was the bassist for the seminal gothic rock band Bauhaus. Life and work . Moore, 24/7 Real Media's chairman and CEO (1) (Chief Executive Officer) The highest individual in command of an organization. Typically the president of the company, the CEO reports to the Chairman of the Board. . "We look forward to working with RMK to bring the next-generation of 24/7's products and services to South Korea, including our Insight XE(TM) Web analytics tool, our Open Advertiser(TM) ad serving solution for agencies, and our 24/7 Search(TM) suite of search engine marketing tools and services." Mr. Moore further stated, "RMK has an impressive record of growth and profitability, an outstanding reputation, and an experienced management team. Together, 24/7 and RMK will cement a leading position in South Korea, and commence expansion throughout Asia." Jae Woo Chung, president of RMK adds, "Real Media Korea has profited from the unwavering support it has received from 24/7 Real Media. We are delighted to join forces with 24/7 Real Media because it shares our commitment to providing a comprehensive suite of online marketing solutions, and we see significant opportunity to leverage our leadership position in South Korea throughout Asia by becoming part of a global leader in Internet advertising Delivering ads to Internet users via Web sites, e-mail, ad-supported software and Internet-enabled cellphones. Also called an "ad network," Internet advertising organizations act as a middleman between the advertiser and the Web sites and software publishers that display the ads. ." Post closing, Mr. Chung will continue as President of Real Media Korea and assume additional responsibilities for 24/7 Real Media's global operations Global Operations is a first-person shooter computer game developed by Barking Dog Studios and published by both Crave Entertainment and Electronic Arts. It was released in March of 2002, following its public multiplayer beta version which contained only the Quebec map. in Asia. It is anticipated that the transaction will be completed within 30 days of this announcement, subject to the satisfaction of certain closing conditions, primarily the receipt of regulatory approvals in South Korea. 24/7 Real Media will provide further details of this acquisition during a conference call it plans to host at the close of the transaction. About 24/7 Real Media, Inc. 24/7 Real Media is the only gateway to the total spectrum of interactive marketing and technology. With expertise in all facets of interactive media, 24/7 Real Media is the starting point Noun 1. starting point - earliest limiting point terminus a quo commencement, get-go, offset, outset, showtime, starting time, beginning, start, kickoff, first - the time at which something is supposed to begin; "they got an early start"; "she knew from the for both publishers and marketers, enabling both to maximize customer relationships and revenue. Products and services include Internet ad serving, Web analytics, search engine optimization Designing a Web site so that search engines easily find the pages and index them. The goal is to have your page be in the top 10 results of a search. Optimization includes the choice of words used in the text paragraphs and the placement of those words on the page, both visible and hidden , online media representation and integrated marketing solutions designed to specifically address client goals and objectives. The company is headquartered in New York New York, state, United States New York, Middle Atlantic state of the United States. It is bordered by Vermont, Massachusetts, Connecticut, and the Atlantic Ocean (E), New Jersey and Pennsylvania (S), Lakes Erie and Ontario and the Canadian province of , with offices in other major U.S. cities, Europe and Canada. For more information, please visit www.247realmedia.com. About Real Media Korea Co., Ltd. Real Media Korea is a leader in interactive marketing in the Republic of South Korea. RMK sells advertising on behalf of Web sites, representing several of the largest Web sites, and working with the leading online advertisers. RMK also sells and supports 24/7 Real Media's Open AdSystem(TM) suite of Internet ad delivery and management products. For more information, please visit www.realmedia.co.kr. Caution concerning forward-looking statements forward-looking statement A projected financial statement based on management expectations. A forward-looking statement involves risks with regard to the accuracy of assumptions underlying the projections. This news release includes certain "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act The Private Securities Litigation Reform Act of 1995 (PSLRA) implemented several significant substantive changes affecting certain cases brought under the federal securities laws, including changes related to pleading, discovery, liability, class representation and awards fees and of 1995. These statements are based on management's current expectations and are naturally subject to uncertainty and changes in circumstances. Actual results may vary materially from the expectations contained herein because of changes in economic, business, competitive and/or regulatory factors. More detailed information about those factors is set forth in our filings with the Securities and Exchange Commission. In addition, the following factors, among others, could cause actual results to differ materially from those described herein: enhanced competition, the potential for impairment of relationships with employees or major customers, loss of faith in Internet advertising, international risks, and other economic, business, competitive and/or regulatory factors affecting the businesses of 24/7 Real Media. All information in this release is current as of December 17, 2003. The Company is under no obligation (and expressly disclaims any such obligation) to update or alter its forward-looking statements as a result of new information, future events or otherwise. |
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