AmeriCom Announces Agreement in Principle to Acquire Digicities for Stock.ARROYO GRANDE, Calif.--(BUSINESS WIRE)-- July 21, 1999-AmeriCom USA announced Wednesday a Memorandum of Understanding A Memorandum of Understanding (MoU) is a legal document describing a bilateral or multilateral agreement between parties. It expresses a convergence of will between the parties, indicating an intended common line of action and may not imply a legal commitment. to acquire all of the common shares outstanding of privately-held Digicities Inc. for 3,500,000 shares of AmeriCom capital stock. The memorandum is subject to a number of conditions, including the signing of a formal agreement approved by both boards and the required shareholder approval. There are currently 33,265,756 AmeriCom common shares outstanding. The transaction is also contingent upon Adj. 1. contingent upon - determined by conditions or circumstances that follow; "arms sales contingent on the approval of congress" contingent on, dependant on, dependant upon, dependent on, dependent upon, depending on, contingent the expected September completion of a previously-announced merger agreement between AmeriCom and Telespace Ltd. (EBB:TLTD TLTD Trivial Logical Topology Design ). Subsequent to the exchanges of stock, AmeriCom will be the parent company and Digicities will operate as an AmeriCom wholly-owned subsidiary. Digicities, located in Santa Monica, Calif., was founded earlier in 1999 to design and support corporate Internet Web sites and conduct direct sales campaigns to promote its services. Digicities has grown rapidly to serve more than 10,000 Web site customers. AmeriCom is engaged in Internet advertising and software development for the marketing of goods and services In economics, economic output is divided into physical goods and intangible services. Consumption of goods and services is assumed to produce utility (unless the "good" is a "bad"). It is often used when referring to a Goods and Services Tax. through remote stations primarily in the United States. The Telespace merger is intended, in part, to expand into international products and services. Information contained herein relies upon a Safe Harbor Safe Harbor 1. A legal provision to reduce or eliminate liability as long as good faith is demonstrated. 2. A form of shark repellent implemented by a target company acquiring a business that is so poorly regulated that the target itself is less attractive. statement under 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. This release contains forward-looking statements that are subject to risks and uncertainties, including, but not limited to, the impact of competitive products and pricing, product demand and market acceptance, new product development, reliance on key strategic alliances, availability of raw materials, the regulatory environment, fluctuations in operating results and other risks detailed from time to time in AmeriCom USA's filings with the Securities and Exchange Commission. |
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