Bidhit.com Completes Acquisition of EZbid, Inc.; EZbid.com Ranked as Top 10 Online Auction Company.Business Editors/Technology Writers NEW YORK--(BUSINESS WIRE)--May 18, 2000 Bidhit.com, Inc. (OTCBB OTCBB See OTC Bulletin Board (OTCBB). :BHIT BHIT Bicycle Helmet Initiative Trust (UK) ) (Frankfurt:BHC BHC benzene hexachloride. BHC, ?-BHC see benzene hexachloride. ), a rapidly growing Internet auction and e-commerce company, announced today the completion of the acquisition of EZbid, Inc. (www.ezbid.com), formerly a subsidiary of Systemax Inc. (NYSE NYSE See: New York Stock Exchange :SYX SYX Sanya, China (Airport Code) SYX Smalltalk YX (open source programming language) SYX Skyway Airlines (ICAO code) ). In monthly unique visitors A count of how many different people access a Web site. For example, if a user leaves and comes back to the site five times during the measurement period, that person is counted as one unique visitor, but would count as five "user sessions. , Media Metrix (Forbes Magazine, 12/13/99) ranked EZbid.com as the 8th highest trafficked online auction site. The combined registered users and e-mail addressees of Bidhit.com and EZbid.com total more than 160,000. Under the terms of the merger agreement, Bidhit.com acquired 100% of the outstanding shares of EZbid in exchange for an aggregate of 5,734,895 newly issued common shares of Bidhit.com, giving the former shareholders of EZbid, an approximate 30.7 percent ownership interest in Bidhit.com immediately following the closing of the transaction (of which Systemax owns 5,391,523 shares representing approximately 28.9% of the outstanding stock of Bidhit.com). Upon completion of the acquisition, Bidhit.com had a total of 18,678,931 issued and outstanding common shares. 573,490 of the shares issued in connection with the acquisition are subject to the terms of an Escrow Agreement Escrow Agreement A certificate provided by an approved bank that guarantees the indicated securities are deposited at that particular bank. Notes: For example, an investor who writes a call option and can present an escrow agreement is considered covered. and are subject to forfeiture by the former shareholders of EZbid in the event of breaches of the merger agreement. Under the terms of the merger agreement, Systemax and Bidhit.com agreed to cooperate in marketing the EZbid site through existing Systemax channels. Systemax was also given the right to appoint two members to the Bidhit.com Board of Directors. In announcing the completion of the EZbid acquisition, Tim Black, President and Chief Executive Officer of Bidhit.com, said, "The acquisition significantly expands our user base and our customers will benefit from combining the resources of two of the leading online auctions. We will offer bidders more personalized customer service, improved e-commerce capabilities, extended product warranty protection and educational materials." Systemax Chairman and Chief Executive Officer, Richard Leeds, commenting on the transaction, said, "Merging Bidhit.com and EZbid should allow the combined entity to better meet customer needs and should generate increased sales and gross margins." Bidhit.com also pointed out that 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. Jupiter Communications (Vision Report, Volume 1, March 7, 2000), online Business to Customer (B2C (Business to Consumer) Refers to a business communicating with or selling to an individual rather than a company. See B2B. ) auction revenues are expected to increase at an annual rate of 46% per year through 2004, reaching $4.5 billion in annual sales. Jupiter projects that other forms of dynamic pricing, such as group buying, will increase even faster, at 70% per year, reaching $7 billion in 2004. Bidhit.com is focused on growing its online auction presence in both the B2C and Business-to-Business (B2B (Business to Business) Refers to one business communicating with or selling to another. See B2B e-commerce, B2C and B2G. B2B - business to business ) markets. About Bidhit.com, Inc. (OTCBB:BHIT) (FRANKFURT:BHC) Bidhit.com, Inc. (www.bidhit.com) is an Internet auction and e-commerce company that provides registered users with the opportunity to bid on quality brand name products such as computers and peripherals, camera equipment, sporting goods Noun 1. sporting goods - sports equipment sold as a commodity commodity, trade good, good - articles of commerce sports equipment - equipment needed to participate in a particular sport , household goods, home electronics and sports memorabilia The term sports memorabilia usually refers to anything that can be directly connected to a sports event or personality. These items are generally gathered by fans of the particular sport, athlete or team that the item signifies or by collectors who find value in the rarity . Since 1997, Bidhit.com, Inc. has been a pioneer of Internet auctions. It differentiates itself from its competitors by its strong customer care focus. The Company's customer service, certified vendors, extended warranty The examples and perspective in this article or section may not represent a worldwide view of the subject. Please [ improve this article] or discuss the issue on the talk page. program, industry leading live help for customers, and easy to use Web site set it apart from other online auction sites. Bidhit.com is a member in good standing of the Better Business Bureau (BBB BBB A medium grade assigned to a debt obligation by a rating agency to indicate an adequate ability to pay interest and repay principal. However, adverse developments are more likely to impair this ability than would be the case for bonds rated A and above. ) and the BBB Online. Hollinger International (NYSE:HLR (Home Location Register) A database in a cellular system that contains all the subscribers within the provider's home service area. When a subscriber reaches a new service area, the data in the HLR is requested and transferred via SS7 to the VLR (Visitor Location ), a global newspaper publisher, owns 1.463 million shares of Bidhit.com. Bidhit.com and Hollinger recently announced several projects. These include a pilot project that would develop a Bidhit.com and Chicago Sun-Times This article is about the Chicago newspaper. For the Canadian newspaper, see Owen Sound Sun Times. The Chicago Sun-Times is an American daily newspaper published in Chicago. co-branded auction site. Hollinger owns the Chicago Sun-Times. Hollinger will also provide Bidhit.com use of select content published by Hollinger publications for a one-year period, on a non-exclusive basis. Bidhit.com is developing a consumer education section for its Web site and the Hollinger content should add value for Bidhit.com customers. Bidhit.com will also place $3.1 million in advertising in Hollinger-owned publications. Bidhit.com will use this advertising money to increase awareness of the Bidhit.com brand and specific auction offerings. Hollinger also provides advisory services advisory services advisory services provided to the public, in their capacity as owners and managers of animals, are an important part of veterinary science. They may be provided by government bureaux, by commercial companies who deal in pharmaceuticals or animals or animal to Bidhit through the participation of two Hollinger Executives on the Bidhit.com Advisory Boards. About EZBID EZbid (www.EZbid.com) was launched in 1998 and is a leader in consumer-based on-line auctions. EZbid has over 135,000 registered who bid on top quality PC's, consumer electronics and other consumer products. EZbid has gained strength through its exclusive/preferred relationship with Systemax, covering customer acquisition programs and quality product sourcing, on-line marketing programs through the Systemax network and catalog/TV advertising. EZbid.com is based in Clearwater, Fla. In December 1999, EZbid.com was ranked among the top 1000 sites by pcdataonline.com, attracting 900,000 unique visitors. EZbid placed second in the Harris Interactive Harris Interactive (NASDAQ: HPOL) is an American market research company that specializes in public opinion research using both telephone and surveys on online panels. The company is the product of a 1996 merger between the Gordon S. Black Company and Louis Harris & Associates. e-commerce Pulse Awards for total price satisfaction among online auction sites. Research from Media Metrix shows that unique visitors spend almost 3 times as much time on EZbid than on competing sites bid.com (Nasdaq:BIDS) or Compaq's AltaVista shopping.com (NYSE:CPQ CPQ Compaq CPQ Conseil du Patronat du Québec (Canada) CPQ Configure-Price-Quote CPQ Conseil de Presse du Québec (Québec Press Council, Canada) CPQ Companion Parrot Quarterly ). About Systemax (NYSE:SYX) Systemax Inc. (www.systemax.com) has developed an integrated system of branded e-commerce Web sites, direct mail catalogs, and relationship marketing to sell private label and name brand PC hardware, related computer products, and industrial products to businesses in North America and Europe. With more than $1.75 billion in 1999 sales, Systemax is a Fortune 1000 company that is listed on the NYSE and traded under the symbol SYX. Bidhit.com, Inc. -- Forward-Looking Statements: This news release includes certain forward-looking statements. Forward-looking statements include, but are not limited to, projections of revenue, income or loss and capital expenditures, statements regarding future operations, financing needs, plans relating to products or services of the Company, assessments of materiality, and predictions of future events, as well as assumptions relating to the foregoing. In addition, when used in this discussion, the words "anticipates", "believes", "estimates", "expects", "intends", "plans" and variations thereof and similar expressions are intended to identify forward-looking statements. Such forward-looking statements are subject to various risks and uncertainties. Actual results could differ materially from those currently anticipated due to a number of factors, including but not limited to the Company's ability to manage rapid growth as a result of internal expansion and strategic acquisitions, the impact of competitive products and pricing, demand and market acceptance of our products and services, new product development and service offerings, reliance on key strategic alliances the regulatory environment, fluctuations in operating results and other risks detailed from time to time in the Bidhit.com's filings with the Securities and Exchange Commission. Systemax Inc. -- Forward-Looking Statements: This news release may include certain forward-looking statements. Forward-looking statements may include, but are not limited to, projections of revenue, income or loss and capital expenditures, statements regarding future operations, financing needs, plans relating to products or services of the Company, assessments of materiality, predictions of future events and the effects of pending and possible litigation An action brought in court to enforce a particular right. The act or process of bringing a lawsuit in and of itself; a judicial contest; any dispute. When a person begins a civil lawsuit, the person enters into a process called litigation. , as well as assumptions relating to the foregoing. In addition, when used in this discussion, the words "anticipates", "believes", "estimates", "expects", "intends", "plans" and variations thereof and similar expressions are intended to identify forward-looking statements. Such forward-looking statements are subject to various risks and uncertainties. Actual results could differ materially from those currently anticipated due to a number of factors, including but not limited to (i) the Company's ability to manage rapid growth as a result of internal expansion and strategic acquisitions, (ii) the effect on the Company of volatility in the price of paper and periodic increases in postage rates, (iii) the operation of the Company's management information systems, including the costs and effects associated with the year 2000 date change problem, (iv) the general risks attendant to the conduct of business in foreign countries, including currency fluctuations associated with sales not denominated in U.S. dollars, (v) significant changes in the computer products retail industry, especially relating to the distribution and sale of such products, (vi) competition in the PC, notebook computer, computer related products and industrial products markets from superstores, direct marketers, the Internet and other retailers, (vii) the potential for expanded imposition of state sales, use or other taxes and additional government regulation on direct marketers, (viii) the continuation of key vendor relationships, including the ability to continue to receive vendor supported advertising, (ix) timely availability of existing and new products, (x) risks involved with e-commerce, including the possible loss of business and customer dissatisfaction if outages or other computer-related problems should preclude customer access to the Company, (xi) risks associated with delivery of merchandise to customers by utilizing common delivery services such as UPS, including possible strikes, (xii) risks due to shifts in market demand and/or price erosion of owned inventory, (xiii) borrowing costs, (xiv) changes in taxes due to changes in the mix of U.S. and non-U.S. revenue, (xv) pending or threatened litigation and investigations and (xvi) the availability of key personnel, as well as other risk factors. These factors are discussed in greater detail in "Item 7, Management's Discussion and Analysis Management's discussion and analysis (MD&A) A report from management to shareholders that accompanies the firm's financial statements in the annual report. It explains the period's financial results and enables management to discuss topics that may not be apparent in the financial of Financial Condition and Results of Operations -- Forward-Looking Statements" in the Company's Annual Report on Form 10-K Form 10-K A report required by the SEC from exchange-listed companies that provides for annual disclosure of certain financial information. Form 10-K See 10-K. for the year ended December 31, 1999 as filed with the Securities and Exchange Commission. This release is available on the KCSA KCSA Krannert Center Student Association KCSA Kentucky Crushed Stone Association (Frankfort, KY) KCSA Kyiv City State Administration KCSA Kalamazoo Christian School Association KCSA Kentucky-Canadian Studies Association Public Relations public relations, activities and policies used to create public interest in a person, idea, product, institution, or business establishment. By its nature, public relations is devoted to serving particular interests by presenting them to the public in the most Worldwide website at www.kcsa.com |
|
||||||||||||||||
Printer friendly
Cite/link
Email
Feedback
Reader Opinion