City of West Hollywood Riding Into New Millennium on ZAP Electric Bicycles.

ZAP, which has sold over 20,000 units worldwide, also manufactures consumer model electric bikes and scooters. For more

ZAP Power Systems have signed a definitive agreement to merge the two companies

Business Editors/Gaming Writers

"This merger brings together two outstanding organizations that share common values, have compatible strategies and demonstrated track records of achievement," said Mr. Hcombined asset base to deliver increasing returnconfident that with the exceptional quality of eConnect's employees, we will succeed in meeting these objectives."

"The relative strengths of our two companies are highly complementary," they said. "When combined, they will provide better opportunities for both our shareholders and customers than those they would experience without this merger. It's a good match."

"While we expect to benefit from a reduction of costs, our real objective is to maximize growth and return on investment by successfully managing the existing assets of the two companies. They said, "Combining the proprietary technologies and management expertise of the two companies also will reinforce the selection of eConnect as the partner of choice, creating additional resource opportunities in the future."

In discussing the strategic fit of Betting, Inc. and eBet, Inc., Mr. Hughes said the two companies line up well with each other in almost every facet of the business. "eConnect should realize immediate benefits through sharing the proprietary technology and best practices of each company."

The merger is subject to shareholder and regulatory approval, as well as other customary conditions.

It is intended that the merger will qualify as a tax-free reorganization in the United States and that it will be accounted for on a "pooling of interests" basis.